University of Phoenix Loan Forgiveness Options

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Update: Great news for those who attended the University of Phoenix: the Federal Trade Commission (FTC) has announced a massive $191 million settlement with the University of Phoenix. This breakthrough agreement aims to bring relief to numerous students who may have been misled by the university’s advertising and enrollment practices. 

As part of the settlement, $50 million will be paid directly to students, while an additional $141 million will go towards canceling outstanding student loan debt. 

This significant development could be a game-changer for the countless University of Phoenix graduates, opening doors to new possibilities and easing the financial burden of their educational journey. Stay tuned as we explore the implications of this settlement and what it means for you and your student loans.

To be eligible for the $191 million settlement between the University of Phoenix and the Federal Trade Commission (FTC), a student loan borrower must meet certain criteria. Generally, this applies to students who:

  1. Enrolled at the University of Phoenix between October 15, 2012, and December 31, 2016.
  2. Were impacted by the university’s deceptive advertising and enrollment practices, as determined by the FTC investigation.
  3. Have outstanding student loans directly issued by the University of Phoenix, specifically for tuition and fees. Federal loans or private loans from other lenders are not eligible for cancellation under this settlement.

About the University of Phoenix

The University of Phoenix is a well-known, private for-profit institution that offers a wide range of degree programs, including associate, bachelor’s, master’s, and doctoral degrees.

Phone number: 1-866-766-0766 (Toll-free)


Mailing address:

University of Phoenix

4025 S. Riverpoint Parkway

Phoenix, AZ 85040

Accreditation: The University of Phoenix is regionally accredited by the Higher Learning Commission (HLC), which is one of the six regional accrediting bodies recognized by the U.S. Department of Education. This accreditation means that the university meets or exceeds established standards for educational quality.

Credit Transfer: The University of Phoenix accepts transfer credits from other accredited institutions, as well as credits earned through certain standardized exams such as the College Level Examination Program (CLEP) and the Advanced Placement (AP) program. The transferability of credits depends on various factors, including the receiving institution’s policies, the specific courses taken, and the grades earned. To find out more about transferring credits, students should consult with an academic advisor at the University of Phoenix or their prospective institution.

Online and Campus Learning: The University of Phoenix offers both online and campus-based learning options, catering to the diverse needs of its students. With numerous campus locations across the United States and a comprehensive online learning platform, the university aims to provide flexible and accessible education opportunities.

Financial Aid: The University of Phoenix participates in various federal and state financial aid programs, including grants, loans, and work-study opportunities. To apply for financial aid, students must complete the Free Application for Federal Student Aid (FAFSA) and meet eligibility requirements. Additionally, the university offers a variety of scholarships and other financial assistance programs.

For more information about the University of Phoenix, its programs, and admissions, visit their website or contact them by phone or mail.

University of Phoenix Issues

The University of Phoenix reached a $191 million settlement with the Federal Trade Commission (FTC) due to allegations of deceptive advertising and enrollment practices. According to the FTC, the university engaged in misleading advertising campaigns that targeted vulnerable populations, including military service members, veterans, and their families.

Some of the key issues in the FTC’s investigation included:

1. False job placement claims: The University of Phoenix was accused of making false or misleading statements about its relationships with major employers, suggesting that these companies actively recruited graduates from the university. The FTC found that these claims were not supported by evidence and misled prospective students about their job prospects after graduation.

2. Misleading advertisements: The university allegedly used advertising campaigns that created a false impression of close partnerships with well-known companies, such as Microsoft, Adobe, and Twitter. These advertisements led students to believe that they would have better job opportunities after completing their degree programs.

3. Targeting vulnerable populations: The FTC’s investigation revealed that the University of Phoenix specifically targeted military service members, veterans, and their families for enrollment, exploiting their access to federal educational benefits.

As a result of these deceptive practices, the University of Phoenix agreed to a settlement with the FTC. The $191 million settlement includes $50 million in direct payments to affected students and $141 million in debt cancellation for outstanding student loans issued by the university. The settlement aims to provide financial relief to students who were misled by the university’s advertising and enrollment practices, helping them move forward with their lives and careers.

University of Phoenix Loan Forgiveness Options

University of Phoenix graduates who are struggling with student loan debt may be eligible for various student loan forgiveness programs beyond the $191 million settlement with the FTC. Here are some potential options to explore:

1. Public Service Loan Forgiveness (PSLF): Borrowers who work full-time in qualifying public service jobs and have made 120 qualifying monthly payments under a qualifying repayment plan may be eligible for forgiveness of the remaining balance on their Direct Loans.

2. Teacher Loan Forgiveness: Teachers who work in low-income schools or educational service agencies for five consecutive years may be eligible for up to $17,500 in forgiveness on their Direct Subsidized and Unsubsidized Loans, and their Subsidized and Unsubsidized Federal Stafford Loans.

3. Income-Driven Repayment (IDR) Forgiveness: Borrowers who are enrolled in an income-driven repayment plan (such as Income-Based Repayment, Pay As You Earn, or Revised Pay As You Earn) may have the remaining balance of their loans forgiven after 20 or 25 years of qualifying payments, depending on the specific IDR plan.

4. Total and Permanent Disability (TPD) Discharge: Borrowers who become totally and permanently disabled may be eligible for a discharge of their federal student loans, including Direct Loans, Federal Family Education Loan (FFEL) Program loans, and Perkins Loans.

5. Closed School Discharge: If the University of Phoenix campus you attended closed while you were enrolled or shortly after you withdrew, you may be eligible for a discharge of your federal student loans.

6. Borrower Defense to Repayment: If you believe the University of Phoenix misled you or engaged in other misconduct in violation of state laws, you may apply for borrower defense to repayment. Successful applications may result in forgiveness of some or all of your federal student loans.

It is essential to research each option thoroughly and understand the eligibility requirements and application processes. To determine if you qualify for any of these forgiveness programs, contact your loan servicer and visit the Federal Student Aid website for more information.


In conclusion, University of Phoenix graduates grappling with student loan debt have several avenues for potential relief. While the notable $191 million settlement with the FTC may offer immediate assistance to some borrowers, it’s crucial to explore all available forgiveness programs and understand the eligibility criteria for each. By taking advantage of these opportunities, you can alleviate the burden of student loan debt and focus on maximizing the potential of your education.

Additionally, speaking with a debt relief lawyer can provide valuable guidance and help you navigate the complexities of loan forgiveness and debt management.

Remember, researching your options and staying informed about the latest developments in student loan forgiveness can make all the difference in your financial future. Stay proactive and continue seeking the resources and support you need to thrive.


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Do You Owe Over $10,000 in Federal Student Loans?
What is The Current Loan Status of Your Loans?
Do you have Unsecured Debts Over $10,000?
Did You Attended a For-Profit College?
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See Your Student Loan Forgiveness Eligibility

Join the over 50 Thousand people who have received help from!

Contact Information
Do You Owe Over $10,000 in Federal Student Loans?
What is The Current Loan Status of Your Loans?
Do you have Unsecured Debts Over $10,000?
Did You Attended a For-Profit College?
Are you Currently Enrolled in College or Going Through Active Bankruptcy?
Are You Employed Full-Time?
Student Loan Forgiveness Deadline Extended