Tens of thousands of former Corinthian Colleges students can breathe a sigh of relief after a federal judge said late Tuesday that the U.S. Department of Education must stop all attempts to collect on their federal student loans.
The decision clarifies the scope of the judge’s ruling in May banning the Education Department from using earnings data to grant partial student loan forgiveness to Corinthian students and halting collection on their federal debts. The agency interpreted the order to only apply to the four plaintiffs in the case, not the scores of Corinthian students defrauded by the defunct for-profit school.