Many have received tuition reimbursement, but thousands more have not filed claims
Students who were left saddled with loans following the 2015 closure of Corinthian Colleges now have another chance to get their money back, thanks to a new law that went into effect on January 1, 2020.
AB 1346 (Medina, 2019) was signed into law by Governor Gavin Newsom in October 2019. The law expands the eligibility for reimbursement from the state’s Student Tuition Recovery Fund (STRF) to students who attended a Corinthian College location in California, including Everest, Heald, and WyoTech, on or after January 1, 2010. Previous legislation applied only to students enrolled as late as 2014.
The law also allows students of closed for-profit schools to recover losses from STRF beyond tuition expenses, including any expenses incurred by the student as a result of the school closure, such as transcript fees or the cost of services related to debt relief, and other types of expenses incurred in connection with their attendance.
“We’re grateful to the legislature and the governor for expanding the eligibility requirements for Corinthian College students,” said Dr. Michael Marion, chief of the Bureau for Private Postsecondary Education (BPPE), under of the Department of Consumer Affairs. “California is a nationwide leader for consumer protection of for-profit college students and this legislation continues that tradition If you’re a former Corinthian student and you’re not sure if you’re eligible, please contact us so we can help you through the process.”
Reimbursement claims for the state fund are managed by the Office of Student Assistance and Relief (OSAR), an office under BPPE. OSAR was created in response to the 2015 bankruptcy and closure of Corinthian College, which left thousands of California students on the hook for student loans and little recourse.
Any claim that was filed previously by a former Corinthian student is also being looked at to determine if the claimant is newly eligible under the law, even if the claim was denied in the past on the grounds of falling outside the eligibility window.
To date, OSAR has served more than 60,000 Corinthian College students, but thousands more may be leaving money on the table.
Students are encouraged to contact OSAR to explore all possibilities for reimbursement of their related costs which, in some cases, could include housing, transportation, and childcare.
“OSAR was established to help students obtain relief by providing one-on-one guidance to help students who are financial victims of any for-profit college closure,” said Scott Valverde, chief of OSAR. “Any student of Heald, Everest, or WyoTech College who may have been impacted by the school’s closure should contact OSAR, even if they contacted us before, so we can see if you’re eligible under the terms of AB 1346.”
Victims of for-profit college closures, whether they were students of Corinthian College or another institution, are encouraged to file a claim with the Office of Student Assistance and Relief by calling (888) 370-7589, Option #5, or by emailing osar@dca.ca.gov.
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