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How to Qualify for Borrower Defense and Get Your Student Loans Forgiven

LoanSense|Loan Guides|May 21, 2025

Borrower Defense to Repayment: How to Get Your Student Loans Forgiven If Your School Misled You

If your school misled you or used deceptive practices, you may be able to get some or all of your federal student loans discharged through a program called Borrower Defense to Repayment. The Department of Education has identified 150+ schools, most of them for-profit, with a documented pattern of misconduct. Borrowers who attended these schools now have a clearer path to relief.

At LoanSense, we've helped borrowers eliminate $80K to $100K+ in student debt by consolidating their loans and filing strong applications. If you think your school misled you, now is a good time to check your eligibility.

Sign up for a FREE LoanSense plan and get IDR help now »
Check out the list of schools on the settlement list here.

🎓 What Is Borrower Defense?

Borrower Defense to Repayment is a federal program that lets student loan borrowers request forgiveness when their school misled them or engaged in fraudulent or deceptive behavior.

You may qualify if your school:

  • Lied about job placement rates
  • Falsely claimed accreditation
  • Misrepresented graduation rates
  • Promised transferable credits or licensure eligibility and didn't deliver
  • Used predatory lending or recruiting tactics
  • Charged you for semesters you didn't attend

✅ Good to know: Borrower Defense applies to Direct Loans. If you have older FFEL or Perkins loans, you generally need to consolidate them into a Direct Loan first.

Is Your School on the List?

The Sweet v. Cardona settlement (now Sweet v. McMahon) produced a list of 143 schools where a pattern of misconduct has already been recognized. Many are closed or for-profit schools. Being on the list doesn't guarantee approval, but it can strengthen your claim.

See if your school is on the list »

What You'll Need to Apply

A successful Borrower Defense claim depends on strong documentation. Gather as much of the following as you can:

  • Transcripts and enrollment agreements
  • Promotional materials from the school (website, emails, social media ads)
  • Communications (emails, texts, letters)
  • Course catalogs or student handbooks
  • Any legal or written evidence of misrepresentation

📌 Tip: You can still apply even if you haven't gathered all your evidence. LoanSense can help guide you through it.

Do You Meet the Time Limit?

Deadlines depend on when your loans were disbursed:

  • Loans disbursed before July 1, 2017: There's generally no fixed federal deadline as long as you still owe on the loan. However, state law may limit how much of what you've already paid you can get back.
  • Loans disbursed July 1, 2017 to June 30, 2020: You generally have 6 years to file.
  • Loans disbursed on or after July 1, 2020: You have 3 years from when you left the school.

Not sure where you stand? Schedule a free 15-minute consult with LoanSense.

Pro Tips Before You Apply

  1. Consolidate non-Direct loans first (Perkins, FFEL, etc.). Keep in mind that consolidating now affects which repayment plans you can choose, so talk to us before you consolidate.
  2. Choose the right repayment plan for any loans that don't qualify. An income-driven repayment plan can keep your payments affordable while your claim is reviewed.
  3. Understand the impact on home buying. Your loans may be placed in forbearance during review, which can affect how a lender calculates your debt-to-income (DTI) ratio.

💬 Real Borrower Success

We've seen borrowers receive over $100,000 in loan forgiveness by combining Borrower Defense with income-driven repayment. If you believe your school misled you, it's worth submitting an application.

"My school told me I could get a tech job after graduation. No one ever called. LoanSense helped me apply. I got $86,000 forgiven."
Former ITT Tech borrower

🎯 Next Steps