June 25, 2024

Biden discloses $1.2B plan for student loan forgiveness

William Luther Aier of the American Institute for Economic Research joins Andrew Craft of LiveNOW in discussing President Biden’s fresh $1.2 billion agenda for student loan forgiveness.

Over $4.1 million in reimbursements are destined for individuals who became victims of student loan forgiveness fraudsters.

On Wednesday, the Federal Trade Commission declared the reimbursements for victims who were deceived by counterfeit loan forgiveness boasts. The supposed scheme functioned under various pseudonyms, including Mission Hills Federal, Federal Direct Group, National Secure Processing, and The Student Loan Group, according to the FTC.

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In 2019, the FTC lodged a lawsuit against the administrators of Mission Hills Federal and Federal Direct Group. The accusation was that “starting from 2014, they lured students to pay sizeable illegal upfront charges and deluded to reduce consumers’ monthly student loan payments.”

”The accused also misled consumers into redirecting their monthly student loan installments directly to the perpetrators by incorrectly stating to assume control over the consumers’ loans,” acknowledged the agency.

Nevertheless, in essence, scant payments were genuinely directed toward the borrower’s student loans – and in several instances – none whatsoever. On the contrary, the fraudsters stashed the money.

“The litigation’s outcome led to the culprits paying money to grant reimbursements and acquiring a ban from telemarketing and debt relief services,” conveyed the agency.

FILE – A student engaged in studies at the Perry-Castaneda Library in the University of Texas at Austin on Feb. 22, 2024, in Austin, Texas. (Image by Brandon Bell/Getty Images)

As stated by the FTC, 27,584 recipients will get their refunds via checks. They further added that recipients must cash their checks within 90 days from receipt.

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Recipients desiring to understand more about their payment should reach out to JND Legal Administration, the refund administrator, at 1-844-566-0108, or they can visit the FTC’s website to find answers for common queries about the reimbursement process, suggested the agency.

The FTC emphasized that the commission never asks people to pay cash or provide account details to collect a refund.

This news originated from Cincinnati.