The Attorney General’s Office secured an agreement to obtain $3,980,230.28 in debt relief for 412 former ITT Tech students in Arizona as part of a multistate settlement with Student CU Connect CUSO, LLC (CUSO), which offered loans to finance students’ tuition at ITT Tech, a failed for-profit college. The settlement holds CUSO accountable for its participation with ITT in subjecting ITT students to abusive lending practices.
As a result of a bipartisan coalition of state attorneys general, CUSO has agreed that it will forego collection of the outstanding loans. Under the settlement’s Redress Plan, CUSO’s loan servicer will send notices to borrowers about the cancelled debt and ensure that automatic payments are cancelled. The settlement also requires CUSO to supply Credit Reporting Agencies with information to update credit information for affected student borrowers that defaulted on loans. Read the full settlement agreement.
The notices being sent to students by CUSO’s loan servicer will include information about their rights under the settlement. The settlement by CUSO does not mean that any other loans held by other parties have been or will be forgiven.
Office of the Arizona Attorney General
Consumer Protection and Advocacy Section
2005 N. Central Avenue
Phoenix, Arizona 85004