Going to college can be stressful enough without having your school close. Here’s how you can manage this unfortunate event and some important things you should know.
Your Loans from That School Can Be Discharged
If you attend a school that closes, most types of federal loans can be discharged. That means you don’t have to pay for your program if your school does not deliver on its promise to provide you with that program.
If you have private loans, or paid cash for your education, you may have other options to get your money back. These might include a chargeback or seeking a remedy through small claims court.
Your Credits May Transfer
Find out from the registrars at other schools whether your credits can transfer there and whether you can continue where you left off. Although some schools tend to be rigid on these rules, many tend to be flexible and understanding. Doing a bit of research upfront could save you a lot of time and money on wasted repeat credits.
You May Be Entitled to Compensation
When your school closes, you may be entitled to compensation for the loss of your time or other damages. The rules vary depending on your state and the conditions under which the school closed. To get guidance for your situation:
- Consult an attorney who deals with consumer matters in your area.
- Consult the Federal Trade Commission’s information on student loans.
- Seek information from state regulators.
You Have Rights
School closures are a hassle for students. Even if a school refunds your money, you’ll still have to deal with many other hassles. Luckily, protections for students make sure you are treated fairly, even if your school leaves you high and dry.