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For Profit Colleges

All articles tagged with #for profit colleges

education2 years ago•4 min saved

The Art Institutes Network Shuts Down All Campuses

The Art Institutes, a for-profit network of colleges, is closing its remaining eight campuses across the United States, leaving approximately 1,700 students and faculty members in shock. The system has faced challenges such as low enrollment, fraud allegations, and loss of accreditation in recent years. The closure comes at a time when traditional models of arts education are experiencing contractions, with some schools declaring bankruptcy or merging with larger institutions. Federal rules requiring educational institutions to provide a "teach-out" plan for completing degrees after closure may not apply to for-profit schools, but the Department of Education is working to support affected students.

via The New York Times|

#art-institutes #campus-closures #department-of-education

education2 years ago•2 min saved

Biden's Student Loan Relief: $72M Debt Cancelled for Ashford University Borrowers

The Biden administration is canceling $72 million in federal student loan debt for over 2,300 borrowers who attended the for-profit Ashford University in California. This is part of the borrower defense to repayment program, which allows borrowers to seek debt relief if they were misled or defrauded by their college. The Department of Education found that Ashford University made substantial misrepresentations to borrowers, and the school is now known as the University of Arizona Global Campus. The Biden administration has approved the cancellation of over $116 billion in student loan debt for more than 3.4 million people, with a focus on borrowers who were misled by for-profit colleges.

via CNN|

#ashford-university #biden-administration #borrower-defense-program

education2 years ago•2 min saved

US Court Blocks Biden's Student Loan Forgiveness Plan, Facing Lawsuits

The New Orleans-based 5th U.S. Circuit Court of Appeals has blocked the Biden administration from implementing a rule that would make it easier for defrauded students to have their loans forgiven. The rule, which was challenged by a trade group representing for-profit colleges, would provide greater grounds for borrowers to seek debt relief in cases of fraud. The court's decision comes after the Supreme Court blocked Biden's plan to cancel $430 billion in student loan debt. The Education Department is reviewing the order and remains committed to holding predatory colleges accountable and providing relief to cheated borrowers.

via Reuters|

#biden-administration #education #education-department

education2 years ago•3 min saved

Biden Administration Erases $130M Student Debt for CollegeAmerica Borrowers

The Biden administration has announced the cancellation of $130 million in federal debt for 7,400 students who attended CollegeAmerica, a Colorado college that the government says deceived students about its success. This move is part of the administration's ongoing efforts to provide relief to borrowers who were misled or short-changed by for-profit colleges. The Department of Education has already forgiven $14.7 billion in debt for nearly 1.1 million borrowers who attended institutions such as Corinthian Colleges and ITT Technical Institute. CollegeAmerica closed down in 2021 after a successful lawsuit brought by the state. The debt relief will be automatic and covers students who attended between 2006 and July 1, 2020.

via ABC News|

#biden-administration #collegeamerica #debt-relief

education2 years ago•4 min saved

Biden administration proposes new rule to tackle student debt and low income after graduation.

The Biden administration has proposed a new rule that would cut off federal money to college programs that leave graduates underpaid or buried in loans, but the rules would apply only to for-profit colleges and a tiny fraction of programs at traditional universities. The proposal revives an Obama-era policy known as gainful employment, which was dismantled by the Trump administration before it took full effect. The new proposal would apply to all programs at for-profit colleges, but only to certificate programs at traditional universities. The proposal could take effect no sooner than July 2024.

via The Associated Press|

#accountability #college #education

education2 years ago•3 min saved

Supreme Court upholds $6 billion student loan settlement.

The Supreme Court has denied a request by a group of colleges to block a $6 billion settlement that will cancel the student loans of about 200,000 borrowers who say they were defrauded by their schools. The settlement resolves a class-action lawsuit filed in 2018 by people who accused the Education Department of ignoring their applications for loan forgiveness through the “borrower defense to loan repayment program.” The case is unrelated to President Biden’s broader effort to forgive up to $20,000 in student debt for tens of millions of borrowers, which the justices are set to rule on in the coming months.

via The Washington Post|

#borrower-defense #education #for-profit-colleges

education2 years ago•1 min saved

Supreme Court upholds student loan settlement.

The Supreme Court rejected a request to block a settlement in a lawsuit involving the cancellation of student loan debts at 151 for-profit colleges. The settlement, approved in federal court last November, canceled and refunded 200,000 federal student loans at 151 schools, and totaled more than an estimated $6 billion. The Biden administration argued that federal law gave the department ample authority to settle the case, and any reputational harm to the institutions was "purely speculative."

via NPR|

#biden-administration #education #for-profit-colleges

education2 years ago•2 min saved

$6 billion student debt settlement upheld by U.S. Supreme Court.

The US Supreme Court has rejected a request from three colleges to halt a legal settlement that would cancel more than $6bn in debt owed by former students of colleges, many of them for-profit institutions, who have said they were misled by schools about academics and job prospects. The settlement arose from a legal effort by borrowers in 2019 to force then-Education Secretary Betsy DeVos to resume the Education Department's adjudication of their misconduct claims against the schools. The three schools argued they had suffered reputational harm and that the Biden administration lacked the legal authority to cancel the debt.

via Reuters|

#biden-administration #education #for-profit-colleges

education2 years ago•2 min saved

Supreme Court upholds $6 billion student loan debt settlement.

The US Supreme Court has allowed a settlement that will cancel thousands of student loan debts worth over $6bn. The settlement concerns loans that borrowers claim should be cancelled because they were taken out based on misrepresentation made by their schools, many of which are for-profit. The case is unrelated to President Joe Biden’s broader effort to forgive student loan debt, which is also before the justices, with a ruling due in the next two months.

via NBC News|

#debt-cancellation #education #for-profit-colleges

education2 years ago•2 min saved

Supreme Court urged to stop $6B student loan debt settlement by colleges.

Colleges, including for-profit institutions, have asked the Supreme Court to halt a class-action settlement that could lead to the cancellation of student loans worth over $6 billion for hundreds of thousands of borrowers. The settlement was approved by a California-based judge in November 2020 in a case brought by borrowers who claim their federal student loans should be canceled because their schools allegedly engaged in misconduct. The colleges object to their inclusion on a list of institutions linked with claims of "substantial misconduct" and argue that Education Secretary Miguel Cardona has exceeded his authority.

via NBC News|

#class-action-settlement #education #for-profit-colleges