Bill Would Restore Pell Grant Eligibility For Students Who Attended Defunct For-Profit Colleges

Bill Would Restore Pell Grant Eligibility For Students Who Attended Defunct For-Profit Colleges

The Federal Pell Grant Program provides need-based grants to low-income students to help pay for college, but the funds come with limitations: They are only available for six years or 12 semesters, and when that time is up the funding is gone. So when now-bankrupt Corinthian Colleges Inc. abruptly closed its Wyotech, Heald College and Everest University campuses in April, thousands of students who relied on Pell money were left with few options for continuing their education elsewhere. A new piece of legislation aims to help these stranded students get back on track. [More]

For-Profit Colleges Lead The Way On Loan Defaults: Report

For-Profit Colleges Lead The Way On Loan Defaults: Report

During the Great Recession, the growing industry of for-profit colleges promised millions of Americans a path to a higher education. But the high tuitions charged by many schools sent U.S. student loan debt soaring to more than $1.2 trillion. A new report claims that while for-profit schools charged top-dollar, many students were getting a cut-rate education, making it difficult to obtain jobs that will allow them to pay down this debt.
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Corinthian Students Continue To Wait For Debt Relief As Department Of Ed. Reviews More Than 7,800 Claims

Corinthian Students Continue To Wait For Debt Relief As Department Of Ed. Reviews More Than 7,800 Claims

The tens of thousands of students seeking debt relief from the federal government after for-profit education chain Corinthian Colleges Inc. closed its Everest University, WyoTech and Heald College campuses, will have to wait a little longer, the Department of Education said Thursday as it provided an update on the number of federal student loans it has discharged and that are currently under consideration. [More]

Mass. AG, Lawmakers Call For More Assistance For Former Corinthian College Students

Mass. AG, Lawmakers Call For More Assistance For Former Corinthian College Students

Ever since for-profit education chain Corinthian Colleges Inc. closed its Everest University, WyoTech and Heald College campuses, leaving tens of thousands of students with millions of dollars in loans, consumers advocates, legislators and others have urged the Department of Education to relieve former students of their debt burdens. Those calls for help continued on Tuesday with renewed pressure from Massachusetts Attorney General Marua Healey and Sen. Elizabeth Warren calling on the Dept. to rid victims of the defunct for-profit college of unsustainable loan payments. [More]

(Freaktography)

Dept. Of Education Plans To Overhaul Loan Forgiveness Program For Students Defrauded By Schools

As thousands of former Corinthian College students continue to wait to learn whether or not they’re on the hook to repay billions of dollars in student loans they took out to attend the now defunct for-profit college, the Department of Education announced plans to overhaul the loan forgiveness process for students who believe they have been defrauded by their colleges. [More]

Servicemembers At Failing For-Profit Schools Not Protected By Veterans Affairs

Servicemembers At Failing For-Profit Schools Not Protected By Veterans Affairs

When a for-profit college closes its doors, students are often left with hefty student loan tabs and little recourse. Some of those borrowers may be eligible for a discharge of their debts through the Dept. of Education, but others – like the thousands of veterans who used their GI Bill benefits to finance their education – are simply out of luck, often losing their chance to obtain a degree, thanks in part to failures within the Department of Veterans Affairs. [More]

For-Profit College Industry Continues To Bemoan Recently Enacted Gainful Employment Regulations

For-Profit College Industry Continues To Bemoan Recently Enacted Gainful Employment Regulations

A month after the implementation of long-awaited regulations aimed at reining in for-profit colleges went into effect, opponents of the new rules aren’t simply backing away nicely. Instead, they continue push repeal of the new law, saying it unfairly targets the proprietary schools. [More]

University Of Phoenix Faces Probe Into Military Recruiting Practices

University Of Phoenix Faces Probe Into Military Recruiting Practices

A little more than a week after federal regulators set their sights on the University of Phoenix for possible deceptive and unfair business practices, the California Attorney General’s office is joining the investigation party by opening a probe into the for-profit college’s military recruitment practices. [More]

Commercials for Everest University continue to appear on TV, because the schools are now operated by Zenith Education Corp.

Why Do I Keep Seeing Commercials For Everest University?

If you’re sitting at home watching television on any given afternoon, you’re likely to see a few commercials touting the supposed convenience and benefits of attending a for-profit college. But with the recent, very public collapse of now-bankrupt Corinthian Colleges Inc — and the closure of many of its schools — you might be wondering why your Jerry Springer show is being interrupted with ads for Everest University. [More]

Regulators Investigating University Of Phoenix’s Business Practices

Regulators Investigating University Of Phoenix’s Business Practices

Apollo Education Group, owners of the country’s largest for-profit college – University of Phoenix – is the latest target for federal regulators set on reining in the for-profit education industry for engaging in allegedly deceptive marketing practices. [More]

Former Corinthian College Students Seek To File $2.5B Claim Against Bankrupt For-Profit Operator

Former Corinthian College Students Seek To File $2.5B Claim Against Bankrupt For-Profit Operator

Former students of now-defunct for-profit education chain Corinthian Colleges continued their fight to recoup the money they spent on classes at the company’s Heald College, WyoTech or Everest University campuses, filing a $2.5 billion claim against the bankrupt educator.
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When Comparing Colleges, It Would Help To Know If A School Is Under Investigation

When Comparing Colleges, It Would Help To Know If A School Is Under Investigation

Many consumers thinking of pursuing a higher education weigh the pros and the cons of a specific college: tuition, convenience, available areas of study. Last month, the Department of Education announced it would make the college shopping experience a little easier for prospective students by creating a consumer-facing online college comparison system. While the tool will no doubt be helpful, consumer advocates warn that, as it stands, the system will be missing a vital information: whether or not schools are party to investigation, lawsuits or settlements over harmful and deceptive practices. [More]

Agreement Could Temporarily Halt Legal Action On Loans For Some Former Corinthian College Students

Agreement Could Temporarily Halt Legal Action On Loans For Some Former Corinthian College Students

Former Corinthian College students left with piles of debt after the company closed its Heald College, Everest University and WyoTech campuses earlier this year are getting a bit more relief, as the Department of Education announced it would temporarily suspend some legal actions related to borrower’s defaulted loans. [More]

10 Things We Learned About The University Of Phoenix’s Alleged Military Marketing Strategy

10 Things We Learned About The University Of Phoenix’s Alleged Military Marketing Strategy

It’s no secret that for-profit colleges receive a large chunk of their revenue from military education benefits. To deter unscrupulous for-profit colleges from unfairly targeting these prospective students, the government has imposed several limitations on just how these companies can recruit servicemembers. But a new report shows that one of the nation’s largest proprietary education institutions – The University of Phoenix – spends millions of dollars to allegedly skirt those rules. [More]

Senators Introduce Legislation To Close Federal Funding Loophole Exploited By For-Profit Colleges… Again

Senators Introduce Legislation To Close Federal Funding Loophole Exploited By For-Profit Colleges… Again

Legislators continued their crusade to rein in the abuses of predatory for-profit college institutions by introducing a measure today that would close a funding loophole that often led the schools to target certain consumers in order to pad their bottom line. [More]

Gainful Employment Rules Survive Another Hurdle, Judge Strikes Down For-Profit College Industry Lawsuit

Gainful Employment Rules Survive Another Hurdle, Judge Strikes Down For-Profit College Industry Lawsuit

Gainful employment rule: 2, for-profit education industry groups: 0. A federal judge struck down a second lawsuit to block new regulations aimed at reining in for-profit colleges set to take effect in just one week. [More]

Students At Closed Corinthian Colleges May Ask For Federal Student Loan Relief

Students At Closed Corinthian Colleges May Ask For Federal Student Loan Relief

Getting a student loan discharged is not easy. Even bankruptcy is not usually enough to shake off that debt. But recent students at schools under the Corinthian Colleges Inc. [CCI] umbrella (Everest, WyoTech, Heald) will get the chance to request that some of all their federal student loan obligation be lifted. [More]

Judge Upholds Gainful Employment Rule, Throws Out For-Profit Industry Lawsuit

Judge Upholds Gainful Employment Rule, Throws Out For-Profit Industry Lawsuit

The Department of Education’s gainful employment rules, aimed at reigning in the for-profit college industry, came one step closer to its July implementation today as a judge threw out a for-profit industry lawsuit that attempted to further weaken the upcoming law. [More]