Lost accreditation? Credits won't transfer? Degree not recognized? You can get 100% federal loan discharge, tuition refunds, and compensation if your school lost accreditation or misrepresented its status.
Check if you qualify for loan discharge and tuition refunds
Enter your details to see if you may qualify for Borrower Defense discharge
Accreditation is a quality assurance process where an independent external body evaluates and verifies that a school or educational program meets established educational standards. This voluntary peer-review process ensures that institutions provide quality education and that degrees hold value in the job market and for further education.
When a school loses accreditation or never had proper accreditation in the first place, the consequences can be devastating for students: credits become non-transferable, degrees lose recognition, professional licenses become unattainable, and years of education investment can become worthless.
If your school misrepresented its accreditation status—whether it claimed to be accredited when it wasn't, lost accreditation after you enrolled, or promised your program was accredited when it lacked proper programmatic accreditation—you have legal rights to seek full federal loan discharge and tuition refunds through Borrower Defense to Repayment.
Recent federal actions have resulted in nearly $29 billion in approved debt relief for 1.6 million borrowers who were misled by their colleges. The Department of Education has significantly strengthened protections for students affected by accreditation fraud and misrepresentation.
Covers the entire school and all its programs. Most common types are regional accreditation (considered the gold standard) and national accreditation.
Required for federal financial aid eligibility and credit transfer to other accredited schools
Applies to specific programs within a school, particularly in professional fields like nursing, engineering, business, law, social work, and teaching.
Often required for professional licensing exams and employment in specialized fields
You may qualify for Borrower Defense discharge if your school misrepresented its accreditation status and you were harmed as a result
You must show the school made false statements about accreditation in marketing materials, websites, or verbal representations
Nursing programs: When a nursing school loses CCNE/ACEN accreditation and graduates cannot sit for NCLEX (nursing licensing exam). These cases have very high success rates because the harm is clear and immediate—the degree becomes worthless for its intended purpose.
For-profit college closures: Schools like ITT Tech, Corinthian Colleges, and Westwood College that misrepresented accreditation status and job placement. Thousands of students from these schools have received full loan discharge. If you attended a closed for-profit college, you may also qualify for automatic Closed School Discharge.
Approved Borrower Defense applications result in complete relief from federal student loan obligations
Complete discharge of federal student loans used to attend the school. This includes Direct Loans, FFEL Program loans, and Perkins Loans related to enrollment at the school.
Any payments you already made on discharged loans will be reimbursed to you. This can amount to thousands of dollars in recovered payments, even if you've been paying for years.
Discharged loans will be removed from credit reports, and any negative marks related to those loans will be deleted. Collections will stop immediately upon approval.
Some states require schools to refund tuition for students affected by accreditation loss. File complaints with your state attorney general and education department.
While Borrower Defense only covers federal loans, you may be able to discharge private loans through state lawsuits, class actions, or individual breach of contract claims.
In some cases, you may be able to sue for lost wages and reduced earning capacity if you can prove the school's lies prevented you from working in your chosen field.
Follow these steps to submit your Borrower Defense to Repayment application
Collect all documents showing the school claimed to be accredited or promised accreditation benefits
Prove how the school's lies about accreditation damaged you financially or professionally
Fill out the official application form with detailed information
Don't just file with the Department of Education—maximize your chances
You can request to stop making payments while your claim is reviewed
Act quickly—some deadlines apply depending on your state and situation
There is currently no statute of limitations for filing Borrower Defense claims. However, it's best to file as soon as possible while evidence is still available and fresh.
State consumer protection and fraud claims typically have 1-6 year statutes of limitation from when you discovered (or should have discovered) the fraud. Varies by state.
Most states allow 3-6 years to file breach of contract claims for tuition refunds. The clock typically starts when the breach occurred (e.g., when you discovered the accreditation issue).
If your school closed, you have 3 years from the closure date to apply for Closed School Discharge. This is automatic for students enrolled within 120 days of closure.
Compare education rights and accreditation oversight across different regions
Quick answers to common questions about accreditation fraud and loan discharge
File your Borrower Defense application today. It's free, and you could get 100% loan discharge plus refunds of payments already made.