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A $2.6 million agreement entered by the Pennsylvania Attorney General s office has alleviated student debt for 1,300 students.
The agreement will result in the cancellation of approximately $2.6 million in private Pennsylvania student loans held by students who attended schools operated by the now-defunct Education Corporation of America, AG Josh Shapiro said. The defunct corporation abruptly closed due to its loss of accreditation and its failure to meet federal Department of Education financial requirements in December 2018.
ECA operated Brightwood campuses in Philadelphia, Broomall, Harrisburg, and Pittsburgh before it shuttered.
The agreement provides refunds of loan payments back to Pennsylvania borrowers by the Texas-based loan holder Elevation Capital Partners, LLC.
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Students who attended schools operated by the defunct Education Corporation of America will have their private student loans canceled.
Pennsylvania Attorney General Josh Shapiro announced an agreement on Tuesday that will result in the cancellation of about $2.6 million in private Pennsylvania student loans for 1,300 students who attended schools operated by Education Corporation of America.
ECA operated five former Brightwood Career Institute locations in Pennsylvania, including a Pittsburgh site that abruptly closed in 2018. Education Corporation of America lost its accreditation and failed to meet federal Education Department financial requirements, causing them to close their Pittsburgh location, along with campuses in Philadelphia, Broomall and Harrisburg.