ST. PAUL, Minn. – Minnesota Attorney General Keith Ellison, the Consumer Financial Protection Bureau, and 10 other state attorneys general announce the approved settlement of $31 million in relief to student borrowers victimized by predatory for-profit educational provider, Prehired.
Authorities say Prehired operated a 12-week online training program claiming to prepare students for an entry-level position as software sales development representatives with “six-figure salaries” and a “job guarantee.”
The company offered students “income-share” loans to help pay for the program, tricking them into costly debt that many students had to pay with their income after they completed or discontinued the program.
The order requires Prehired to pay nearly $27 million in void loans, and $4.2 million in refunded payments nationwide, with Minnesota consumers receiving over $79,000 in restitution.
Source: KFGO
