[NJ] [NJ] Can I cancel a student loan after a school closes?

Hello, my name is Blake, and I’m a licensed attorney. I’ll be happy to help you today. Please note that this conversation is for informational purposes only and doesn’t create an attorney-client relationship. I’ll explain everything clearly and help you understand your options.

First, how long ago did this happen, and where were the bootcamps located?

Got it. When were these programs, and where were they located?

Thank you for clarifying, Jerry — and I completely understand your frustration. It’s incredibly unfair to be left with thousands in debt for services you never received or couldn’t complete because the school closed.

Here’s how to look at your situation from a New Jersey legal perspective:

Here’s What That Means:

1. Meritize Loan & the Closed Bootcamp

Because the bootcamp closed and you couldn’t finish, you may have grounds to dispute or cancel the loan under several legal theories:

•  Breach of Contract: If the school failed to deliver the promised program, that’s a breach. You can argue you shouldn’t owe the full loan.
•  FTC Holder Rule: Many education-related loans include a clause allowing borrowers to raise the same defenses against the lender that they could against the school. Check your Meritize promissory note for this clause — it’s critical.
• Fraud or Misrepresentation: If the school misrepresented its accreditation, job placement rates, or outcomes, you may have a fraud claim.
• Consumer Protection Complaints:

You can file complaints with:

• New Jersey Division of Consumer Affairs
• Consumer Financial Protection Bureau (CFPB): http://www.consumerfinance.gov/complaint
• Federal Trade Commission (FTC): For deceptive business practices
• Closed-School Loan Relief: While federal closed-school discharge only applies to federal loans, some private lenders (like Meritize) have voluntarily offered similar relief. Demand a written explanation from Meritize on why they are still holding you responsible despite the school’s closure.

2. Second Bootcamp & Affidavit of Forgery

You also mentioned a second tech bootcamp and that they’re asking for an affidavit of forgery.

If you believe your signature or information was used fraudulently, do this:

File an Affidavit of Forgery in New Jersey: This is a notarized statement where you swear under oath that a signature or document was forged. You can:

• Draft one yourself or ask an attorney to help.
• Visit your county clerk’s office or police department — some have templates and will notarize it.
• Attach your police report (which you already filed).
• File an Identity Theft Report:
  • Visit www.IdentityTheft.gov and submit the report.
  • Send a written dispute to the lender citing the Fair Credit Reporting Act (FCRA) and Truth in Lending Act (TILA), disputing the validity of the debt.

3. Next Steps

• Get copies of all contracts and loan documents.
• Send a certified letter to Meritize disputing the loan, referencing the school’s closure.
• Include documentation (emails, announcements, screenshots) proving the school shut down.
• Keep copies of all communication.

If Meritize continues collections, contact a New Jersey consumer protection attorney experienced in student loan cases.

Perfect — that’s the FTC Holder Rule Notice — and it’s a huge advantage for you.

This clause means you can raise any defense against the school (like breach of contract or fraud) against the lender (Meritize) as well.

Here's What That Means:

1. You Can Dispute the Loan Legally:
If the school closed or didn’t deliver, you can assert that you owe nothing. The lender takes on the same legal responsibility as the school under the Holder Rule.

2. Send a Formal Written Dispute to Meritize:
Send a certified letter stating:

• The school closed and failed to provide promised services.

• You’re invoking your Holder Rule rights.

• You dispute the validity and enforceability of the debt.

Include:

• A copy of the Holder Rule clause from your loan.

• Documentation of the school’s closure.

• A timeline of events.

3. If Meritize Refuses:

• File a complaint with the CFPB and NJ Division of Consumer Affairs.

• Dispute any negative credit reporting with the bureaus under the FCRA, attaching your Holder Rule defense.

This clause gives you real legal leverage — you’re not powerless here.

Understood — thank you.

If they’re requesting that, follow these steps:

1. Provide the police report (you already did).

2. Complete the affidavit of forgery, notarize it, and send it back with the report.

3. Keep copies of all documents and correspondence.

4. If they persist, file a written dispute under the Fair Credit Reporting Act and contact the CFPB.

I hope this answers your question. Thanks again for reaching out, and best of luck resolving this — you have strong consumer protection rights here.