I’ve got great news for UOP students; in 2017, it’s not just possible, but easy to qualify for University of Phoenix loan forgiveness benefits via the Borrower’s Defense Against Repayment Program.

Why? Because UOP has been accused of committing all sorts of fraudulent activities, violating both State and Federal laws, and essentially running a huge scam operation to extract money from not just individual Americans, but also the Federal Government, and even the Defense Department (via military student loans).

This post will explain how you can use the Borrower’s Defense Against Repayment Program to cash in on University of Phoenix student loan forgiveness benefits, wiping out your UOP student loan debt for good, and potentially even getting a refund for any money you’ve already paid UOP or their parent company, the Apollo Education Group.



But Before We Get Into It…

Let me offer you a short-cut to getting your loans dischargeds: instead of spending the next hour or two reading this post, checking out other pages of my site, and frantically Googling for additional details, try calling the Student Loan Relief Helpline instead.

Why? Because just 5-10 minutes of talking to the Helpline staff will let you determine whether or not you actually qualify for a Borrower’s Defense Discharge, saving you a ton of time and stress, because determining this on your own is a complicated process that requires a lot of research.

The Student Loan Relief Helpline can even help you fill out all the Borrower’s Defense Against Repayment paperwork, ensuring that you complete everything correctly, and increasing the chances that your application will be approved for a loan discharge.

Your first call to the Helpline is free, and you’ll only be charged if you agree to let them work on your case for you, so you’ve got nothing to lose but a few minutes of your time.

To get help discharging your University of Phoenix loans, call the Student Loan Relief Helpline now at 1-833-600-0101.


How Can I Use Borrower’s Defense to Discharge UOP Loans?

Under the Borrower’s Defense law, you’re able to discharge student loans that were taken out to attend a school who committed fraud by doing something, or failing to do something, like misrepresenting their services, or violating some other state law related to your loans or related to the education services that they provided you.

In the case of University of Phoenix, it’s pretty clear what you need to do, which is to file a Borrower’s Defense Against Repayment Application stating that UOP defrauded you by convincing you to take out student loans to pay for their higher education programs because they falsely advertised inflated graduation rates and job placement stats.

Essentially, you’ll be accusing the school of false advertising, in that you’re saying you wouldn’t have attended the school (and thus never would have borrowed the student loans), had you known that University of Phoenix’s graduation rates and job placement rates were actually much lower than those that they advertised.

The really good news is that if your application is approved, your entire University of Phoenix loan will be forgiven, and you may even qualify for a refund for any amount of money that you have already paid to the school or their parent company, the Apollo Education Group.



How to Support Your Borrower’s Defense Claim

When you file your Borrower’s Defense claim, you need to make it very clear that you’re suggesting the Department of Education provide forgiveness benefits for your University of Phoenix loans because they were only taken out in the first place thanks to the school’s illegal activity.

In other words, you need to clearly state that you never would have borrowed the money if the school hadn’t lied to you about something, or tricked you in some way, or made some sort of false promise that they didn’t, or couldn’t deliver on.

Pay close attention to this point, because it’s the most important of this entire post: in your application, you will need to clearly explain exactly what the school did to defraud you, otherwise you’ll be denied the discharge and will have to continue making payments toward your outstanding loan balance.

Read through the options below to see which one of these things University of Phoenix is accused of doing fits best with your specific situation, and then use that as your argument for why you deserve a discharge in your application.



What Did University of Phoenix Do Wrong?

UOP is accused of some pretty terrible stuff, and the details of their problems emerged after a Whistleblower lawsuit from UOP’s parent company, Apollo Education Group, became public knowledge when Apollo revealed details of the lawsuit in an SEC filing (which tanked their stock, btw).

In the lawsuit, we found out that the University of Phoenix has been accused of submitting false information about it’s student aid statistics to the Federal Government, which allowed the school to qualify for additional federal funding that it never should have been able to receive.

When you fill out your application, my suggestion is to focus entirely on the false advertising behavior related to inflating graduation and job finding rates, because those seem like the things most likely to convince someone to take out loans for attending UOP.

The other details I outline below are just here to make sure everyone is aware of all the shady activity the school is accused of committing, and to help provide you with background information regarding why it’s even possible to get your loans discharged in the first place.



False Advertising: Inflating Graduation & Job Placement Rates

What really matters to you and to your Borrower’s Defense Application is that the University of Phoenix has been accused of inflating their advertised graduation rates and job placement statistics, which is a form of false advertising, and could definitely be used as a reason for why your loan should be forgiven.

How would that work? Because if you were considering attending University of Phoenix, but wanted to make sure that you were making a good investment of your time and money, then you probably would have double-checked the school’s graduation rates and employment rates to see if they were actually good, right?

After all, would you have attended a school with a bad graduation rate, or a bad job placement rate? Would you have borrowed tens of thousands of dollars to go to a college where less than 1 in 5 students actually graduate?

That’s one of the best arguments you could make in your Borrower’s Defense to Repayment Application, because there’s all sorts of proof that UOP was doing this (inflating their graduation and employment rates), so it’s something that the Department of Education cannot deny.

If you only took out loans to attend University of Phoenix because you thought their advertised graduation and employment rates were accurate, then you deserve to have your loans discharged. Simple, right?

Keep in mind that in your Borrower’s Defense application, you’re going to need to make this argument extremely clearly.

After all, Borrower’s Defense claims are a legal process, so you’re going to have to prove that you would not have taken out your loans had you known UOP’s actual graduation and job placement rates, and that you would never have considered borrowing the money to attend their school if you’d known they were lying about those rates.


Where Do I File My Borrower’s Defense Application?

That’s easy, because there’s only one official place to file your Borrower’s Defense Application, and that’ sat the actual US Government website, here: https://borrowerdischarge.ed.gov/FormWizard/BDU/BDULanding.aspx

DO NOT file a Borrower’s Defense to Repayment Application ANYWHERE ELSE, because anyone else collecting your information via an online form, or even over the phone, may be attempting to trick you in a common Student Loan Forgiveness Scam.

The Federal Government has been cracking down on Forgiveness Scams recently, but there are still thousands of people out there attempting to milk money from desperate student loan borrowers, so you need to be extremely careful about getting anyone’s help with your loans, or with the Borrower’s Defense application.

I mentioned it earlier in this post, but the ONLY company I trust to help people with the Borrower’s Defense process is the Student Loan Relief Helpline, who you can reach by calling: 1-833-600-0101.

Remember, the Helpline can’t do anything for you that you couldn’t do on your own, but the value in getting their assistance is that they’ll ensure you don’t make any mistakes with your paperwork, and since it can take over a year to find out if your application is approved, getting it right the first time could save you a ton more money than it costs for their assistance.


When Will I Find Out If My Application Is Approved?

There’s no telling how long it’ll actually take to find out if your Borrower’s Defense application is approved, but I’ve been receiving comments from readers claiming it’s been over a year since they submitted, and they’re still waiting to hear back.

There have also been many news articles in recent months about the Borrower’s Defense to Repayment Program, especially as the Secretary of Education Betsy DeVos has attempted to shut the entire program down.

For now, let’s just all be aware that this is a controversial program, and one that could disappear at any time. No one knows what President Trump’s plan for student loans actually looks like, and until the details of it are revealed, we need to be prepared to lose the Borrower’s Defense process at any moment.

That’s why you need to take this opportunity seriously, and get your application submitted ASAP! Even if President Trump does decide to shut it down, if your application was submitted before it goes dark, there’s a good chance you’ll be grandfathered into the program and still eligible for the discharge.


Can I Check the Status of My Application?

I get this question on a daily basis, and the answer is, unfortunately, no.

There’s no website, no phone number, no email address to contact to request an update on the status of your application.

In fact, after you submit your application, you’re likely to hear nothing back at all, for months on end, or even over a year.

What you’ll need to do is sit-tight, keep your fingers crossed, and hope that you filled everything out correctly in your paperwork, because any mistake is likely to get your application denied.



Can I Stop Paying My Loans After Submitting My Application?

No! Absolutely not!

You need to keep paying your loans until you receive official notification from the Department of Education that says your loans have been forgiven and that you do not need to continue paying them off.

If you stop paying your loans before they’ve been discharged, you may screw up your eligibility for the Borrower’s Defense process, and end up never getting to discharge your debt.

Make sure you keep making payments in full, and on-time, until you’ve been officially informed that the loans no longer need to be paid.


Will I Owe Taxes On My Forgiven Debt?

Yes, and it’s unfortunate, because it’s the one huge downside to the Borrower’s Defense process.

If you qualify for a Borrower’s Defense discharge and get your University of Phoenix loans forgiven, then you’re going to count whatever amount is forgiven as income on your next IRS filing.

That means you’ll have to pay income taxes on however much debt is discharged, which could mean you’re going to end up owing a lot of money to the IRS.

For details on how this process works, please visit my page on Student Loan Forgiveness and Taxable Income.


How Bad Will Those Taxes Be?

The important thing to keep in mind is that anything you owe the IRS will end up being due all at once, instead of stretched out over a period of 10, 15 or even 20 years (like student loans).

And that means that your affordable student loan payments could turn into a totally unaffordable IRS bill, perhaps even as high as tens of thousands of dollars.

In fact, I’m so concerned that the taxable income liabilities are going to devastate ordinary Americans that I’ve created a new website to offer assistance dealing with IRS tax debt, called Forget Tax Debt.

If you’ve got any tax troubles, please visit my new site, where I cover complicated tax-related topics like Negotiating an IRS Settlement, applying for the IRS Fresh Start Program, qualifying for IRS Tax Debt Forgiveness and even avoiding IRS Phone Scams.



Background Information on University of Phoenix

Everyone’s heard of the University of Phoenix, but few people realize just how large this school actually is – with 91 campuses and over 440,000 enrolled students, UOP is the second largest college in the entire country, but it’s graduation rate is atrocious, sitting at around 17.5%.

Over the past decade, millions of Americans have fallen pretty to UOP’s excellent advertising campaigns and signed up for their higher education courses, burying themselves in massive student loan debt, but that’s all about to change now thanks to a massive lawsuit against UOP’s parent company, the Apollo Education Group.

The lawsuit comes from a Whistleblower former employee at UOP, and accuses the company of doing all sorts of heinous things, including plenty of illegal activity, as well as totally immoral stuff like lying to potential students and forcing employees to sign up for education courses they didn’t want.

Below I’ll detail some of the worst allegations made against the school, which I want to share with you to help you understand why this school is such a problem, and why anyone who’s attended it deserves to qualify for a Defense to Repayment Discharge.


What did University of Phoenix Do Wrong?

First, they violated the Federal False Claims Act by lying about being in compliance with the U.S. Higher Education Act’s 90/10 Rule, which requires a for-profit school to receive no more than 90% of it’s funding from the Federal Government.

The way the University of Phoenix got around this rule is that they did all sorts of illegal activity, like forcefully encouraging their own employees to sign up for UOP classes, which were provided for free, and which allowed them to inflate their graduation rates and job placement rates.

University of Phoenix violated the 90/10 rule by urging employees to tell the Federal Government that they were paying full tuition rates, which allowed them to receive tens of thousands of dollars in Federal financial aid, even though the employees weren’t actually using the money for classes.


In fact, UOP even told their employees who took out this aid that it was one of the benefits to being an employee of the company, and that they should think of the funds as a “bonus”.

Apparently, School Executives and even the Director of Enrollment went so far as boast about UOP employees being able to take their families on vacations using those funds that were supposed to be given to needy students!

UOP is also alleged to have trained enrollment counselors and potential students to falsify loan applications, doing things like lying about having a GED or high school diploma, and that one manager claimed he in “no position to turn away students”, which is totally illegal.

One of the worst allegations made against the school is that the Whistleblower claims to have told school authorities that he or she was considering informing the Government about the school’s illegal actions, and that immediately afterwards all University of Phoenix employees were told to power down their computers for “routine maintenance”.


When the employees turned their computers back on, evidence of all sorts of violations had apparently been removed from their hard drives, and new disclaimers had been added to document templates (including previously completed applications for student loans!).

All of this is obviously highly illegal, not to mention totally immoral, which is part of the reason why I think anyone who’s attended the school should pursue a Borrower’s Defense Discharge.

It’s estimated that all of UOP’s illegal behavior cost the U.S. Government (meaning taxpayers like me and you) billions of dollars a year, so don’t feel bad for UOP or the Apollo Education Group, because these two are bad actors who deserve to be punished, that is, if they’re found guilty of actually committing all these crimes.

If you really want to pore through details about just how bad University of Phoenix and the Apollo Education Group are, then visit their page on the forprofitu.org website, here.


What if I Have Other Questions?

First, make sure to visit my page about the Borrower’s Defense to Repayment program, here, then if you still have any questions, feel free to ask in the comments section below.

I try to answer questions every day, but I’ll definitely get you a response within a couple of days, and I’m happy to help with any issues you have related to student loans and student loan debt.

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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.

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Tim's experience struggling with crushing student loan debt led him to create the website Forget Student Loan Debt, where he offers advice on paying off student loans as quickly, and cheaply, as possible. His new website Forget Tax Debt, offers similar advice to people with back tax problems.

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