2022 Guide to the AIU Class Action Lawsuit & Loan Forgiveness Program

AIU class action lawsuit

   Education is an essential factor in getting a successful career. Students are trying their best to get the diploma and finish their studies. Preparation for exams, long lectures, and many books that they are reading are all leading them to that goal. There are many issues that students are facing during their study life. Financial problems are the main problems that students should take care of. To solve this issue, students are trying to get loans and accommodate themselves. What if loan programs lie to you as in AIU class action lawsuit? How about they are trying to get your money and give nothing in return? What happens then? These questions will be answered throughout the article while we are discussing the AIU class-action lawsuit. Let’s first elaborate on the American InterContinental University lawsuit and give background history of the events. 


Background of AIU class action Lawsuit

     American Intercontinental University is a college that has campuses in different cities. This college did some fraudulent acts, and that is why the Federal government starts a lawsuit. The fraud was about federal grants and loan programs. American Intercontinental University allegedly gave falsified information to their students to get them enrolled in their university. In AIU class action lawsuit, it mentioned that this fraudulent act is not the only one that AIU did. Student loan scams are getting even more dangerous each day. This type of colleges and universities are trying to make benefit from the student’s financial inability. To fight with them, you need to know your rights and have information about student loan forgiveness program. There are several types of AIU loan forgiveness programs, and in the following paragraphs, we will discuss them. 

Student loan Forgiveness program

AIU class action lawsuit

     Students are struggling with their financial issues while studying in universities. To continue their studies, they want to take a student loan. Scammers are trying to get those students into their fraudulent acts. AIU Student loan discharge is one of those cases where students get their loans but then learn the reality about the scammer organization. For this type of cases, there are solutions like student loan forgiveness, Student loan discharge, and consolidation programs. AIU class-action lawsuit once again proved that it is not recommended to enroll in this type of fake colleges. The hopes and dreams of the students got faded alongside with their money. To get them back, they applied for the loan forgiveness program. 

Different type of loan forgiveness programs

     There are different types of AIU loan forgiveness programs. If you are facing this type of issue as a student and search for solutions, you will encounter the terms like forgiveness discharge and cancellation. These are all types of student loan forgiveness program that students used in the AIU class action lawsuit. Overall, the meaning of the terms is like each other, but there are some critical points regarding their use. For instance, if a student is unable to pay their loans because of the lack of a job, their application would be student loan forgiveness. What if there are other personal issues?

If a student got hurt, got disabled, or whether it is a permanent or total disability that they can apply for a student loan discharge. If the problem is not a related student but the university, what to do next? In that case, you need to apply for student debt discharge. For instance, if the university that you are enrolled suddenly closes or temporarily strops its actions. 

Lawsuit settlement 


     AIU student loan discharge became a trendy topic among students. Millions of students are waiting for application results of loan forgiveness program that are why this is a trending topic for them. After the effects, students will know whether or not they can get student loan repayment, or not. In this lawsuit, the advantage of the students and their parents is the fact that AIU admitted their fraudulent acts. They acknowledge that before enrolling students in their university, they claimed to give them insurance about students’ post-university careers.


AIU used falsified employment rates alongside with false reports regarding their past students’ salaries. These are all triggering factors that can help students for getting into student loan forgiveness programs. Every student loan consolidation program asks students for evidence regarding the scam acts of the universities. This is the main reason why those students who enrolled in AIU is lucky about the case.

How to apply for loan forgiveness?

     To apply for a student loan forgiveness program, students who enrolled in the fraudulent Universities need to submit a discharge application. The chances after an application process that you will get full or part of loan forgives are up to the standards that BDAR put. To apply for this particular program, students should give detailed information about their cases. Alongside with the evidence regarding the issue. After the AIU class-action lawsuit, many students became aware of this type of acts. After that, they searched for available solutions and came across different types of loan discharge programs. 

    Credit scores, Student loan debt, ratios, are the main factors that BDAR takes into consideration while they are analyzing your application regarding the loan discharge. Evidence mainly should be about the statements that the university tell you about their past success and perspective. You need to make sure that this type of comments made you think about enrolling to that specific university. If those fraudulent statements changed your mind, then you will become a victim of these scams. After applying for loan forgiveness, you need to wait for results. The results can come in 2 weeks, or even it can take up to six months. If it is urgent, you can contact the US Department of education for further considerations.

AIU class-action lawsuit settlement

AIU class action lawsuit

     Students want to know whether they are eligible for the AIU student loan forgiveness or not. To see if you qualify for a loan forgiveness program, you need to check the type of your loan. If it federally funded, then there is a high possibility that student will not get full loan forgiveness. Public loan refinancing is a different process from private student loan consolidation. AIU class action lawsuit showed that it is better to apply for Borrower’s defense to repayment program rather than a federal loan forgiveness program. The reason is that most students have loans from public organizations.



   If you are a student that has a loan discharge issue, then this article would be beneficial. Students are facing many problems regarding loan discharge nowadays. The fraudulent companies are effectively working, and the one that is suffering is the students and their families. Governments are trying to detect and punish those scammers. If you encounter unknown university or college that is ensuring you about their bright future, do not believe them. AIU class action lawsuit is a prime example of the fraudulent acts that many agencies are doing right now. Most of the time, those types of agencies are just scams. If you enroll in one of those universities, it is hard to get a refund after all. 

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