You must pay the state-imposed assessment for the Student Tuition Recovery Fund (STRF) if all of the following applies to you:
- You are a student in an educational program, who is a California resident, or are enrolled in a residency program, and prepay all or part of your tuition either by cash, guaranteed student loans, or personal loans, and
- Your total charges are not paid by any third-party payer such as an employer, government program or other payer unless you have a separate agreement to repay the third party.
You are not eligible for protection from the STRF and you are not required to pay the STRF assessment, if either of the following applies:
- You are not a California resident, or are not enrolled in a residency program, or
- Your total charges are paid by a third party, such as an employer, government program or other payer, and you have no separate agreement to repay the third party.
The State of California created the Student Tuition Recovery Fund (STRF) to relieve or mitigate economic losses suffered by students in educational programs who are California residents, or are enrolled in a residency programs attending certain schools regulated by the Bureau for Private Postsecondary and Vocational Education.
You may be eligible for STRF if you are a California resident or are enrolled in a residency program, prepaid tuition, paid the STRF assessment, and suffered an economic loss as a result of any of the following:
- The school closed before the course of instruction was completed.
- The school’s failure to pay refunds or charges on behalf of a student to a third party for license fees or any other purpose, or to provide equipment or materials for which a charge was collected within 180 days before the closure of the school.
- The school’s failure to pay or reimburse loan proceeds under a federally guaranteed student loan program as required by law or to pay or reimburse proceeds received by the school prior to closure in excess of tuition and other costs.
- There was a material failure to comply with the Act or this Division within 30 days before the school closed or, if the material failure began earlier than 30 days prior to closure, the period determined by the Bureau.
- An inability after diligent efforts to prosecute, prove, and collect on a judgment against the institution for a violation of the Act.
However, no claim can be paid to any student without a social security number or a taxpayer identification number.
Note: Authority cited: Sections 94803, 94877 and 94923, Education Code. Reference: Section 94923, Education Code.