Biden forgives more than $6 billion in loans for 317,000 Art Institutes students

President Biden announced on Wednesday that the White House would forgive more than $6.1 billion on student loan debt for 317,000 borrowers who attended The Art Institutes, a private art school system in the U.S. that shuttered last year.

"This institution falsified data, knowingly misled students, and cheated borrowers into taking on mountains of debt without leading to promising career prospects at the end of their studies," said Biden in a statement.

"We will never stop fighting to deliver relief to borrowers, hold bad actors accountable, and bring the promise of college to more Americans," the President added.

The relief will apply to students who were enrolled in the school system between January 1, 2004 and October 16, 2017, during which the U.S. Department of Education found that The Art Institutes made "pervasive and substantial misrepresentations to prospective students about postgraduation employment rates, salaries, and career services during that time," according to a statement from the DOE.

The DOE will immediately begin notifying borrowers who are eligible for forgiveness, including those who have not formally applied for borrower defense. Previous payments made for student loans will also be refunded. The total available averages out to about $19,000 per borrower.

This latest round of student loan forgiveness brings the total approved by the Biden Administration to almost $160 billion for nearly 4.6 million borrowers, an average of nearly $35,000 per student.

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