On Monday, 16,000 students at Corinthian Colleges learned that their school had closed its doors for good -- and declared bankruptcy. Single mothers, veterans, and other students suddenly found themselves facing thousands of dollars in debt with no degree or job to show for it.
This was not by accident, but by cruel design. As the biggest for-profit college in the country, Corinthian has spent years promoting falsified data to promise high quality jobs and convince students to take out massive levels of student loan debt, despite the limited value of a Corinthian degree. Corinthian funneled this public student loan money to hire the best lobbyists in Washington, including Karl Rove’s Crossroads G.P.S.,to stay one step ahead of state and federal investigations into their crimes.
With Corinthian’s decision to declare bankruptcy, they get to wipe the slate clean on their debts -- but their students can’t do the same, as federal law doesn't allow student debt to be discharged in bankruptcy. As a result, more than 16,000 students are saddled with millions of dollars in student loans and the government expects these students to pay up. Or else.
Join Democracy for America and Student Debt Crisis: Tell the Department of Education to discharge the debt from Corinthian students.