For-Profit Colleges Face New Department of Education Restrictions
A Nation that Wants to Help More People Get a Post-High-School Education Cannot Afford Such High Default Rates…
It’s not surprising that enrollment at for-profit colleges nearly tripled from 2000 to 2008, and is believed to have grown substantially since then. As U.S. companies have cut their payrolls and a degree or certificate has become a prerequisite for more kinds of work, people have looked to these schools as an avenue to careers as truckers, dental hygienists and other jobs that can’t be outsourced to China or India. They’ve also flocked to for-profit colleges because of the less rigorous admissions standards and flexible schedules that allow a working person to study for a bachelor’s degree.
This would all be to the good if it weren’t for the repeated complaints from students who say they were misled by college recruiters about how much time and money their courses would entail, and from graduates who found that contrary to promises, their training wasn’t accepted by prospective employers or there weren’t as many jobs in the field as they had been led to believe. Many students at for-profit schools receive federal aid; about 90% of revenue at the schools comes from federal grants and loans. The programs can be expensive, running from $12,000 to $25,000 or more, and when students can’t find jobs or those jobs don’t pay well enough, they often stop repaying their student loans. Default rates are about three times higher than at private, nonprofit schools. A nation that wants to help more people get a post-high-school education cannot afford such high default rates.
Full article: For-Profit Colleges Face New Department of Education Restrictions
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Tags: Bachelor's Degree, Federal Grants, For-Profit Schools, Post High School Education, Private College, Student Loan
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