
How Can to Apply for a CTU Student Loan Discharge or Refund
Here’s some more good news! If you attended the Colorado Technical Institute (CTU), then you may be eligible for a student loan discharge, or even a full refund, thanks to a lawsuit that 49 States Attorney Generals just settled with their parent company, the Career Education Corporation.
Per the terms of the Career Education Corporation lawsuit settlement, released on January 3rd, 2019, CEC is going to have to forgive almost $500,000,000 in outstanding student loans for students of Colorado Technical Institute, Le Cordon Bleu, and AmericanIntercontinental University, three schools owned and operated by CEC.
Forgiveness benefits are being made available to 179,000 borrowers who got loans directly from CEC (these are called “Institutional Student Loans”), and the reason for the lawsuit is that CEC was proven to have offered misleading information and statements to students in order to convince them to enroll at the affected schools.
Basically, CEC admitted that they provided false job placement rates and inflated average incomes of their graduates, data which convinced students that attending the schools would be worth their while, and which amounted to false advertising, or outright fraud.

What are the Settlement Terms of the Lawsuit?
Not only has Career Education Corporation been ordered to stop attempting to collect on debt from Colorado Technical Institute students, but it’s also been ordered to contact the Credit Bureaus and request that they remove the debts from borrower’s credit reports.
That means that if you owe money to CEC over a CTU student loan, it’s not only going to evaporate, but your credit report will also significantly improve, since the debt will be removed entirely, and any dings you might have experienced in the past will be wiped out entirely!
Colorado Technical Institute is not closing down, but they are going to be forced to offer much clearer information to future students, including the requirement of providing all applicants with a one-page document that clearly details several important pieces of information.
First, the school must explain it’s job placement rates, then it must clearly indicate estimated total costs of the educational program the applicant is interested in, and finally, it’ll have to show the average earnings of graduates from that program, giving potential students a much better idea of the value of their degree programs.
Get Help With Your Loans!
If you're truly struggling with student loan debt, then you should consider paying a Student Loan Debt Relief Agency for help. Why? Because the people working at these companies deal with student loans all day, every day, and they're your best chance at figuring out how to get your loans back under control.For help with Federal Student Loans call the Student Loan Relief Helpline at 1-888-906-3065. They will review your case, evaluate your options for switching repayment plans, consolidating your loans, or pursuing forgiveness benefits, then set you up to get rid of the debt as quickly as possible.
For help with Private Student Loans call McCarthy Law PLC at 1-877-317-0455. McCarthy Law will negotiate with your lender to settle your private loans for much less than you currently owe (typically 40%), then get you a new loan for the lower, settled amount so you can pay off the old loan, repair your credit and reduce your monthly payments.
I've spent 10 years interviewing debt relief agencies, talking to all sorts of "experts", and these are the only two companies that I trust to help my readers. If you have a bad experience with either of them, please make sure to come back and let me know about it in the Comments!

How Does This Settlement Fit Into the Bigger Picture?
I think this is a huge step in the right direction for regulating for-profit schools preying on young, innocent Americans, and I think it’ll be a huge help in turning the student loan debt crisis around, which has saddled generations of students with inescapable debt!
One important thing to note about the lawsuit settlement terms is that it does NOT cover Federal Student Loans, or loans provided by other Private Lenders, so you’ll only be eligible for the benefit if you have loans directly from Career Education Corporation itself.
Finally, borrowers from California and New York are not covered under this settlement either, as CA is seeking it’s own settlement with the company, and NY already settled a separate deal with them.
Nobody knows when the debt relief will actually be offered, if refunds will be provided, or how all of this will play out, as details have not yet been released, but I will update this page as soon as more information is available, so be sure to check back regularly for updates!

What if I Have Federal Student Loans from CTU?
If your Colorado Technical Institute loans are Federally-based, then the good news is that you’ve got an incredible opportunity to get them discharged via the Borrower’s Defense to Repayment Program.
This is a program that allows you to wipe out Federal loans if you can prove that they were only taken out because the school committed fraud against you, and it’s a very powerful way to eliminate your student loans without having to pay a single cent.
The best thing about this CTU lawsuit settlement is that CTU has basically admitted to committing several types of fraud, which you can use as evidence in your BDAR claim against them, including lying about job placement rates, average incomes of graduates, and basically the value of their education programs.
These lies amount to fraud in the form of false advertising, and you can use list these in your BDAR discharge application as the reasons for why you deserve to have a Borrower’s Defense Discharge approved.
The process for filing a BDAR discharge application is pretty straightforward, and you can read all about it in my Guide to the Borrower’s Defense to Repayment Program here.
What if I Have Debt From Other Schools?
If you’ve got student loan debt from other schools, then don’t give up quite yet, because I’ve got all sorts of other Guides created to help you eliminate or at least reduce the amount you owe!
First, and most important, is to determine whether you need Federal Student Loan Relief or Private Student Loan Relief, because the options available are dramatically different, and much better for Federal loan holders.
Next, if you have Federal loans, you’ll want to review my website’s Guides on the following topics:
- Federal Student Loan Forgiveness Programs
- Federal Student Loan Bankruptcy Discharges
- Federal Student Loan Consolidation Programs
- Federal Student Loan Delinquency & Default Help
- Federal Student Loan Rehabilitation
- Stopping Federal Student Loan Wage Garnishments
- Federal Student Loan Deferment Programs
- Federal Student Loan Forbearance Programs
- Federal Student Loan Repayment Plans
- Federal Student Loan Grace Periods

And if you have Private loans, then you’ll want to check out my Guides on:
- Private Student Loan Forgiveness Programs
- Private Student Loan Consolidation Programs
- Private Student Loan Bankruptcy Discharges
- Private Student Loan Default Help
You’re almost certain to qualify for one of the programs mentioned above, basically no matter who you are, who you owe, or what you do for a living.
Keep in mind though that I’m just one person covering the topic, and that there may be other options available as well, so don’t be afraid to Google for specific programs related to your school, your servicer, or your job, as these are typically the things that qualify people for debt relief.

Where Can I Ask Other Questions?
Please feel free to leave a question in the Comments section at the bottom of this page, as I do my best to respond to everyone within 24 hours.
Just be sure to tell me what types of loans you’ve got (Federal or Private), as that is most important in determining which benefits you’ll have access to!
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The more people who visit the site, the more time I can allocate toward developing in-depth guides like this one, and the more people we can collectively help get out of student loan debt!
Thank you for visiting Forget Student Loan Debt, and please make sure to come back soon to check for updates, as I will update this Guide as soon as more information is released.
Disclaimer:Information obtained from Forget Student Loan Debt is for educational purposes only. You should consult a licensed financial professional before making any financial decisions. This site receives some compensation through affiliate relationships. This site is not endorsed or affiliated with the U.S. Department of Education.
When I started attending ctu I was living in New York since then I’ve moved to Tennessee and then stopped attending your article says NY has a separate lawsuit how do I get that information? Do I have to submit for both lawsuits because I moved while I was attending?
Hi Sarah,
Try Googling, but I think you’d need to be involved in the New York lawsuit because that’s where you lived while you were in school. It’s VERY difficult to find any specific details about these lawsuits. Usually you just read about the general story, but there’s no contact or way to get in touch with the attorneys involved. It’s extremely, extremely difficult to join in any of these.
I was a student there and was told that they would help with job placement they continued to tell me I had a better chance at job placement if I continued to get better degrees I ended up getting bachelors degree in two areas
I started CTU classes 2008, was told that all credits could be transferred to a typical campus when I was ready. WRONG. I tried to enter a campus in Georgia and in Washington state. None of my credits were accepted and I was told I had to retake every class again. I was 56 years old at that time. The Degree (associates) is worthless and I was told it is obsolete. I was taking the Associates in science to pursue a job in the nursing field or Social work. I was encouraged to continue for my Bachelors but was unable to get anymore federal funding. Grateful now for that. I currently owe over 50,000.00 in student loans to Navient. I was in the loan forgiveness program that I have to fill paperwork out for every December. And every year I go thru well you made too much money so your out of that program. Mind you I was unemployed until 2013 and could not use my Degree. I was able to get a part time job at a 7-11 minimum wage and could not even begin to pay back this money. Yet I do not qualify for loan forgiveness. I am now 64 years old work 40 hrs a week in school transportation and cannot get any reduction or forgiveness. Can you help me?
Hi Debbie,
Look at the BDAR Discharge Program. The lie about transfer credits may be enough to get an approval.
Not only did I have to borrow almost $80,000 in fed loans but thousands in private loans; I also had to make tuition payments, with zero income turned in on FASFA. The biggest waste! I wish I could get my money back!!!
Hi Loretta,
Private debt is really difficult to deal with, unfortunately.
Hello i want to CTU 2006 for 2 months i owe 22,000 i had every type of. Federal and private loan you can think of and grants. After getting my student file they kept me enrolled for a whole year. Did not update status to withdraw. I have no emails that email is no longer active. I cant remember exact conversations. Let alone with whom.. But my student file shows the document conflict.. I was on acedemic probation for gpa and attendance since the first week . i have a letter saying i was enolled from. 4 -4- 06 to
6-6-06 in associates degree yet they never reported i was withdrawn still recived all iv funds and changed my degree to bachelors.. Showed i i got a c in every class up til the 60% point so they recived 100% of funds .. While on academic probation and withdrawn i did all that!! Even with my learning disabilty.. So my question Is that enough proof? If and i have a documemt of cec providing investors with company info.. Recurting benifits fir emoloyees, sallie mae contract. Etc..
I guess i would like a second set of eyes to see if im reading these documents correctly and if i apply for false certification or borrow defence or if you can apply for both? Or??
If im even reading these documents correctly.. Because i thought employee bonus for recruiting school was againt federal regulations.. And this document is talking about share holders of employees which i feel enrolling. More students would direclty benifit them? I cant post it on here but would love for a second opnion maybe it can help others
Um, I don’t even know what you’re asking here. What is your question?
I got charged for classes I never took nor was I aware I was enrolled in them.
Hi Shannon,
You should definitely try to fight that then. You shouldn’t have been charged for any classes you never enrolled in.
Tim I hope I am not in same boat as Derrick but you are correct they do have crappy programs and in my case they did commit fraud as they told me the degree I was seeking was business administration and what I really needed was healthcare management plus the degree in that you need licensing to do what I want as a. career and they never disclosed this information to me therefore I need more class they do not offer in order to even get licensed and I need experience of up to five years so I was frauded into believing they had me in the right program to enter into health care management which is something they did not offer at the time
Hi Sharon,
Hey, I never said anyone has crappy programs. But if the school committed fraud against you, then you will be eligible for a BDAR Discharge and you should pursue it!
Hi Tim,
Believe it or not, I originally was enrolled in Kaplan Online but transferred to CTU Online after being with Kaplan for a year or so. In regards to CTU, I entered into a 4 year program that they designed specifically for me “Property Management” I was looking for a school to put all my background work history together and looking for a particular degree program; one that was not offered by CTU. So they fabricated basically a label for there benefit to gain my business by offering me the product I was looking for. I do not know if this is a fraudulent act or within the boundaries of school policy. Another issue I had was during my accounting class we were divided up into 2 groups, ones that were pursuing a degree in Accounting and in group 2 everyone else. Group one received the proper instruction and added support while the rest was left to muddle through best we could but when it came to test time it was made conveniently easy due answers being given prior by like examples. CTU also pressured me into taking on more courses than I could reasonably absorb with their accelerated platform. The classes would barely touch on most all the information found in the over priced text books we were required to purchase. I quickly felt like I was wasting money with a program that basically offed an outline of what may be found in a real brick and mortar accredited formal school environment. I then cut my classes back to allow a better learning experience by focusing on 1 or 2 classes per session. This did not allow me to gain full access to funds to help me finish my Property Management program. I can not recollect any real conversations regarding placement after graduation but can recall one instructors exasperated comment regarding me seeking a Property Management degree “Who would want a degree in that”. Well I have a background in construction, served 6 years in the military as an Administrator and work in property management as well. So that was how the idea was born. To add I waited longer than my 10 years to pursue a degree online and I was told my GI Bill was no longer valid to add insult to injury. Tim I am good at keeping files and have most everything that came from both Universities. I have some emails on file but this goes back to around 2004 when I initially enrolled. Phone conversations are long gone and memory fails me but with the documentation I have I am hopeful I will find the meat that I need or glue to make my point stick. By reading above, would anything I mentioned be relevant to submitting a request for loan forgiveness/BDAR? I currently have 41,000.00 in Subsidized and un-subsidized Federal Loans through Navient, currently in an income driven repayment plan. I did get behind a few years back and since it is one payment with prorated payments to about 12 separate loans, I was hit with 30/60/90 day late payments with each individual loan when only one payment each month was late. Student loan will defiantly wreak havoc on your credit score. Thanks for your help and look forward to your response.
Hi Derrick,
It definitely sounds like those guys gave you the run-around, but I am not sure that your story amounts to FRAUD. Via BDAR, you’re accusing the school of committing fraud against you. I would read through my entire post again and look at the specific examples I provided that constitute Fraud, and which make people eligible for a BDAR discharge. If I were an employee at DOE reading your narrative here, I’d say this guy got shafted, but he needs to take it up with the school, as it’s not a case of outright Fraud, just a crappy degree programs and poor customer service.
How do I apply?
Read my entire post. It’s explained in the Guide that you posted this Comment on.