$6 billion loan settlement could spare grads of Florida Coastal School of Law, business schools

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Loan cancellations could happen if a federal judge in San Francisco approves a settlement — maybe as soon as Thursday.

Florida Coastal, which closed its doors last year, was among the schools where the Education Department agreed to “presumptive relief” for students who had filed borrower defense applications before the settlement was signed June 22.

Another 68,000 people who had filed borrower defense applications for schools that weren’t on the settlement list won’t be presumed to deserve relief but will get decisions about their loans sometime between six months and 30 months from when the settlement takes effect, the agreement said.

“They made promises … [to] kind of incentivize you to go to the school. They said they would help with career development, they would help find jobs,” said Ryan Treulieb, a 2015 graduate who said those promises were empty. Susie Quesenberry, who graduated in 2014, said she was assured there’d be placement and career help available before she left the $60,000-a-year she already had to enter law school. When she was looking for internships or starting her law career, though, she was on her own.“They did nothing for me. I couldn’t get a call back from Career Services,” said Quesenbery, who opened a solo practice in family law from a spare room in her home after landing jobs that paid less than her old salary.

 

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