PITTSBURGH — Students who borrowed money to go to a now-defunct career institute will not have to pay back the loan.
Brightwood Career Institute had five locations in Pennsylvania, including Pittsburgh.
Attorney General Josh Shapiro’s office made a deal, which resulted in the cancellation of $2.6 million in private student loans.
>> RELATED STORY: Former Brightwood students struggling to locate transcripts
The agreement with the Texas-based debt buyer, Elevation Capital Partners, LLC, permanently prevents the company from engaging in any collection efforts related to these students’ accounts.
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Student borrowers included in the settlement will be contacted directly by the attorney general’s office and do not need to take any steps to receive a refund or have their debts canceled.
Those were held by 1,300 students who went to the school.