The number of students defaulting on some federal loans within three years of beginning repayment has decreased.

650,000 Student Loan Borrowers Who Began Repayment In 2011 Have Defaulted On Federal Loans

Maybe more consumer are realizing the long-lasting negative effects that can come from not repaying their student loans. Or maybe not. we don’t really know why, but we do know that the number of borrowers defaulting on some federal student loans is decreasing. [More]

ITT Educational Services Under Increased Scrutiny From SEC, Department Of Education

ITT Educational Services Under Increased Scrutiny From SEC, Department Of Education

Could ITT Educational Services be the next large for-profit company facing collapse? Things might not be that dire for the parent company of ITT Technical Institute, but the institution recently revealed it’s under increased government examination that could result in the loss of federal funds. [More]

Your Corinthian-Operated School Is Closing, But You Might Not Be Completely Screwed

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It’s not everyday that a higher education institution shuts down or announces it might be sold. But for the thousands of students attending Corinthian College Inc. (CCI) schools — like Everest University, WyoTech, or Heald College –– that’s their new reality, and it’s one that leaves more questions than answers. [More]

For-Profit Corinthian Colleges To Sell Off Campuses, Phase Out Programs

For-Profit Corinthian Colleges To Sell Off Campuses, Phase Out Programs

Corinthian Colleges, the company that operates for-profit education chains like WyoTech, Everest, Heald Colleges, and others has been the subject of both state and federal investigations that have kept it from opening up any new campuses. Today, Corinthian announced it’s working on a deal with the U.S. Dept. of Education that would keep its schools operating while it sells off a number of campuses and phases out others. [More]

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Dept. Of Education Sued For Access To Info On Private Debt Collectors

After being denied access to what it claims are public documents about financial incentives the U.S. Dept. of Education provides to private debt collectors, a consumer advocacy group has filed suit under the Freedom of Information Act to have those documents released. [More]

Proposed Rules Take Second Stab At Holding For-Profit Colleges Accountable For Graduate’s Success

Proposed Rules Take Second Stab At Holding For-Profit Colleges Accountable For Graduate’s Success

The Department of Education is making a second attempt to rein in those for-profit colleges that benefit from financial aid to students without providing them the education needed to find gainful employment after graduation. But some consumer advocates say the proposed regulations don’t do enough to help students. [More]

Colleges Tight-Lipped On Revealing How They Divvy Out Financial Aid

Colleges Tight-Lipped On Revealing How They Divvy Out Financial Aid

When choosing a college to attend most teens and their families shop around a little. With tuition skyrocketing, many consumers look at financial aid offered by universities as a top priority when considering which institution to attend. Even with regulations on the books requiring schools to outline how financial aid is distributed, families are finding it nearly impossible to estimate their child’s worth to a school. [More]

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New Rules Could Hold Career Education Programs Accountable For Graduates’ Success

While college tuitions and student loan debt has skyrocketed, a number of institutions — especially for-profit schools — have been criticized for failing to provide sufficient education and guidance to students who are then stuck without jobs and without the ability to pay back student loans. Starting Monday morning, the Dept. of Education will begin hearing feedback on a recently drafted regulation that would hold schools accountable for the performance of their students in the real world. [More]

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Feds And Colleges Now Blacklisting Student-Aid Scammers

More than 12 million U.S. college students applied for federal aid for the school year starting this fall, but around 126,000 of these applicants have been flagged by schools and the government as potential scammers looking to cash aid checks without ever intending to get an education. [More]

Agents For Dept. Of Education Kick In Door, Handcuff Woman's Husband For Six Hours

Agents For Dept. Of Education Kick In Door, Handcuff Woman's Husband For Six Hours

UPDATE: A Department of Education reps tells Animal New York that the search warrant, in spite of what was reported by local TV outlets (see video below) was for a criminal investigation and not in regards to a defaulted student loan. [More]

If For-Profit Colleges Want Federal Student Aid, They Have To Prove Graduates Can Get Jobs

If For-Profit Colleges Want Federal Student Aid, They Have To Prove Graduates Can Get Jobs

A 2010 GAO studied showed that federal aid to students at for-profit colleges had tripled over a five-year period from $8 billion to $24 billion and now accounts for 23% of the total aid given out, even though enrollment at for-profit schools only accounts for 8% of college students. Meanwhile, studies continue to show that an inordinately small number of students at these schools ever graduates. In an effort to cut back on the number of people left with mammoth amounts of student loan debt they can’t pay back, the U.S. Dept. of Education has issued a new edict: Show us your college actually prepares students for gainful employment or risk losing out on that lovely loan money. [More]

Department Of Education: Student Loan Oversight Is Overrated

Department Of Education: Student Loan Oversight Is Overrated

Remember that whole student loan scandal, where lenders illegally gave gifts to financial aid officers? The Department of Education doesn’t! A damning GAO report claims that the DOE:

Department Of Education Sends Warning Letters To 921 Colleges

Department Of Education Sends Warning Letters To 921 Colleges

The Department of Education wants you to know that they’ve sent warning letters to 921colleges and universities warning them not to limit students in their choice of lenders, according to the Chicago Tribune.

Jeff Baker, policy liaison at the Education Department’s federal student aid office, said a search of a student loan database showed that a vast majority of students at each of 921 campuses chose the same lender.

Department Of Education Busts Student Loan Party Once And For All

Department Of Education Busts Student Loan Party Once And For All

  • Loan companies cannot contribute to school-affiliated groups, like alumni associations.

  • FAFSA4caster To Help High School Juniors Predict Aid Package

    FAFSA4caster To Help High School Juniors Predict Aid Package

    The Department of Education has unveiled FAFSA4caster, an online tool to help high school juniors predict their eligibility for college aid. The tool was developed in response to the Commission on the Future of Higher Education’s calls for a faster, more streamlined college aid application process.

    Lawsuit: US Department Of Education Overcharging On Student Loans?

    Lawsuit: US Department Of Education Overcharging On Student Loans?

    Has the US Department of Education been unfairly overcharging millions of Americans despite “repeated warnings that it was breaking the law?” According to a lawsuit filed yesterday, the Department of Education may have some explaining to do.