For-profit colleges operate under the so-called “90/10 Rule,” which states that a school can’t receive more than 90% of its revenue from the federal government. However, there’s a loophole that does not count certain military-related education funds — like the GI Bill — against that 90%, meaning these schools can go over that 90% threshold without violating the 90/10 Rule. And according to a new report, hundreds of for-profit schools are indeed getting nearly every dollar of their funding from taxpayers. [More]
GI Bill
AGs Seek Better Protections For Servicemembers Deceived By For-Profit Colleges
By 2.29.16
Federal regulators must do more to protect servicemembers from unscrupulous colleges seeking to get their hands on their education benefits. That’s the message eight states want to get across to the secretary of Veteran Affairs following reports that some for-profit colleges target military personnel using predatory practices. [More]
California Suspends GI Bill Eligibility For ITT Tech
By 5.20.15
Thousands of California students planning to use veterans benefits to enroll at ITT Technical Institute campuses will need to find other means of financing their education after the state’s Department of Veterans Affairs suspended ITT Educational Services’ eligibility for GI Bill funding. [More]
Senators Want To Close Federal Funding Loophole Exploited By For-Profit Colleges
By 4.23.15
Each year for-profit colleges receive billions of dollars in Post 9/11 GI Bill benefits by exploiting a loophole in the rules that govern how these institutions collect federal funds. Once again, a group of senators has set out to change the way in which these schools count student aid, this time by urging the Department of Education to take an aggressive stand. [More]
Aggressive Recruiting At Military Bases Pays Off: For-Profit Schools Received $1.7B Of Post-9/11 GI Bill Funds
By 7.30.14
The Post 9/11 GI Bill aims to further the education of United States servicemembers and their immediate family members, but a new government report reveals that most of those funds are going to further increase the bottomline at for-profit colleges. [More]
