HARRISBURG, Pa., (WTAJ) — Attorney General Josh Shapiro’s office announced that an agreement has been made to cancel $2.6 million in private Pennsylvania student loans.
The private loans are held by 1,300 students who attended schools operated by the shut-down, Education Corporation of America, including five former Brightwood Career Institute locations in Pa., according to a press release.
The agreement will provide refunds of loan payments back to Pa. borrowers who already made payments on their loans to the debt buyers.
“When Education Corporation of America closed down, it left thousands of Pennsylvanians with no degree and a huge financial burden. Today we’ve reached an agreement, and canceled millions of dollars in debt for Pennsylvanians,” Shapiro said.
Borrowers affected by the settlement will be contacted directly by the Office of Attorney General, no further steps are necessary.