from studentaid.gov
- Will I be eligible for a closed school loan discharge?
You may be eligible for a 100% discharge of Direct Loans, Federal Family Education Loan (FFEL) Program loans, or Federal Perkins Loans you received to attend the Corinthian school under either of these circumstances:
Your school closes while you're enrolled, and you do not complete your program, either at the closed school or another school. If you were on an approved leave of absence when the school ceases operations, you are considered to have been enrolled at the school when it closed.
You stopped attending your school within 120 days before it closed.
You are not eligible for discharge of your loans if your school closes and any of the following is true:
You have completed all the coursework for the program, even if you have not received a diploma or certificate.
You stopped attending more than 120 days before the school closes.
You enroll in and you complete a comparable educational program at another school and receive credits for the classes you took at the closed school. However, if you enroll in this comparable program and complete it, but the new school does not give you credit for any coursework completed at the Corinthian school, you would be eligible for a closed school discharge.