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“The check’s in the mail.” You’ve heard it before, but this time it’s true if you are one of the 147,000 University of Phoenix students who will be receiving payments totaling more than $50 million as a result of the FTC’s law enforcement action against the online school.

In a 2019 lawsuit, the FTC alleged the University of Phoenix lured consumers in with ads that falsely touted – among other things – job opportunities for its students with national employers like AT&T, Yahoo!, Microsoft, Twitter, and the American Red Cross. To settle the case, the defendants agreed to pay $50 million in direct payments for some students and an additional $141 million in canceled balances that eligible students owed directly to the school. (Other debts – for example, federal and private student loans or military benefits – aren’t affected by the settlement.)

Who is getting the 146,804 checks and 677 PayPal payments the FTC is sending out? The money is going to students who:

  • first enrolled in a masters, bachelors, or associates degree program between October 15, 2012, and December 31, 2016;
  • paid more than $5,000 with cash, grants, federal and private student loans, or military benefits;
  • didn’t get debt cancellation as part of this settlement; and
  • didn’t opt out of the University of Phoenix providing the student’s contact information to the FTC.

People who receive checks should deposit or cash them within 90 days. By the way, the FTC never requires people to pay money or provide account information to get a refund or to cash a refund check. People who get a refund via PayPal will have 30 days to accept the payment. (This FAQ has more information about the PayPal payment process.)

If you have questions about debt canceled by the school, email the University of Phoenix at or call 1-800-333-5305. For questions about refunds, call the FTC’s refund administrator, Rust Consulting, at 1-877-310-0487.

Even if you weren’t a University of Phoenix student, someone in your company may have been. Share this information with them to make sure they don’t miss their check in the mail.

It is your choice whether to submit a comment. If you do, you must create a user name, or we will not post your comment. The Federal Trade Commission Act authorizes this information collection for purposes of managing online comments. Comments and user names are part of the Federal Trade Commission’s (FTC) public records system, and user names also are part of the FTC’s computer user records system. We may routinely use these records as described in the FTC’s Privacy Act system notices. For more information on how the FTC handles information that we collect, please read our privacy policy.

The purpose of this blog and its comments section is to inform readers about Federal Trade Commission activity, and share information to help them avoid, report, and recover from fraud, scams, and bad business practices. Your thoughts, ideas, and concerns are welcome, and we encourage comments. But keep in mind, this is a moderated blog. We review all comments before they are posted, and we won’t post comments that don’t comply with our commenting policy. We expect commenters to treat each other and the blog writers with respect.

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We don't edit comments to remove objectionable content, so please ensure that your comment contains none of the above. The comments posted on this blog become part of the public domain. To protect your privacy and the privacy of other people, please do not include personal information. Opinions in comments that appear in this blog belong to the individuals who expressed them. They do not belong to or represent views of the Federal Trade Commission.

UoP Student
December 10, 2021
Is this something that is still valid? This is the first I am hearing of it, no one contacted me and I fit the criteria. My degree has been nothing but useless, they promised me I could do it on my time (which was a lie), and that they would help me work for a major tech company (also a lie, they just sent me to after I graduated).
December 15, 2021

In reply to by UoP Student

I am in exactly the same boat and have been unable to find any information regarding the class action suit.
December 21, 2021

In reply to by Andrew

I attended school as well and today is the first I hear about this lawsuit. Was never contacted my anyone
December 23, 2021

In reply to by James

Same, I am just discovering this. I had 33 credits with them and NONE of them transferred to my Community college as they were ineligible which they lied to me about, now I basically have to start college all over again and in debt 17k for no reason
Dorcas wanjohi
January 13, 2022

In reply to by ALECIA RABY

Just hearing this. Had my bachelor & Masters degrees with UOP. Owes lots of students loans
Keri Taylor
January 28, 2022

In reply to by Dorcas wanjohi

Same boat here but earlier 2004-2006. What do I do?
January 23, 2022

In reply to by ALECIA RABY

What’s your email? I can forward you some information as well as resources to dispute your own predatory and questionable practices this school engages in.
March 30, 2022

In reply to by Cara

This is the first that I have heard of this!! Granted, I attended school in 2009, but I was still deceived. I went to an accredited school prior to attend UOP and they didn't accept ANY of my credits. Then after I "graduated", I couldn't use their credits to continue my education at a local University. I wouldn't have waisted my time or MONEY with these place had I known any of this. I haven't furthered my education because I still owe way too much in wasted student loans. I can't use my 2 years of credits from OUP that I already earned, towards my next degree. A BA would have gotten me closer to my goal of being a CPA, but I'm not starting all over. A larger student loan debt and time away from my family, it's just not worth it now. Honestly, I got my job now, based on my experience. Having this school on my resume was an embarrassment. I removed them from any of my social media accounts as well.
May 20, 2022

In reply to by Cara

I would like the information as well. I attended in 2007 and was an employee of one of those companies.

January 22, 2022

In reply to by UoP Student

It's January 22nd, 2022 & I wrote a letter to U.S. Dpt. of Edu to ask to have my loans discharged. I did that in August of 2021 = haven't heard 1 word. I am just reading all of your comments & like you, NEVER heard anything about this & I certainly haven't received 1 penny. I didn't have 1 class to help w my degree in Medical Administration. I even had a few heated discussions w my counselor/ teachers about needing the correct classes. The classes they gave me I took in high school! My loans are affecting my credit by 78%!! I will be calling, writing & emailing until I get an answer or money!! They can't tell us no & others yes. I went to Milwaukee & got charged more for switching to online instead of going to campus.
D Crawford
March 30, 2022

In reply to by BRENDA O'NEIL

I have a Masters degree in Psychology and it is next to useless! Unfortunately , I have an abundance of debt in the form of student loans!
March 30, 2022

Got a refund check of $505.75 today. Hopefully , all my school loan will be forgiven very soon

May 20, 2022

Same as the others. Got a MS in psychology but can't do anything with because there were no licensing hours after not were they offered! So useless degree. $117000!!!!

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