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A settlement that will allow thousands of student loan debts to be canceled will go into effect after the Supreme Court on Thursday declined to block it.
The Supreme Court in a brief order rejected a request made by colleges challenging the settlement.
The case is unrelated to President Joe Biden’s broader effort to forgive student loan debt, which is also before the justices, with a ruling due in the next two months.
The class-action settlement concerns loans that borrowers claim should be canceled because they were taken out based on misrepresentation made by their schools, many of which are for-profit.
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For-profit college ads promise “outstanding job placement” and “exciting careers,” but some who end up enrolling — often immigrants and low-income students — say they leave with little more than debt. Pei-Sze Cheng reports
For more on this story, go to NBC News.