WASHINGTON, D.C. (WRIC) — Virginia Attorney General Jason Miyares, along with attorneys general from 9 other states, has finalized an agreement to forgive the debt of students who attended a fraudulent for-profit university that filed for bankruptcy in 2019.

Argosy University was a troubled for-profit educational institution with campuses in several states, including one in Northern Virginia. According to court filings, “most Argosy students could not afford to pay its high tuition out-of-pocket” and were forced to take out private and federally-backed loans to cover expenses.

At the same time, the school had failed to inform students of their low employment rates post-grad, and even directed staff not to comply with disclosure laws. The university also fraudulently issued debt in some states without obtaining a license to do so.

The school declared bankruptcy in January 2019 and all of its campuses closed shortly afterward in March, with no resources in place to assist students suddenly left without an education.

Now, a new agreement has been struck between the ten attorneys general and the companies that have been trying to collect the student debts owed to Argosy.

Effective immediately, the debt collection companies are barred from collecting or enforcing the loans inherited from Argosy, and the unpaid loans cannot be counted against students’ credit scores.

“Choosing what college to attend is a huge decision in a person’s life, and it can come with a financial burden,” VA Attorney General Jason Miyares wrote in a statement. “Argosy University’s misrepresentation to these students in the years leading to its abrupt closure was unfair.”

This only effects privately-issued loans. The status of federal loans issued to Argosy University students is still uncertain.

The agreement is the culmination of a process begun under Miyares’ predecessor, Mark Herring, who also called on the federal government to forgive the loans they issued to Argosy students.