Students Beware: For-Profit Colleges Could Be Cashing In On You
For-profit educational corporations are under fire for breaking state and federal laws.
We have all seen the ads on TV of these colleges promising students employment right after graduation. What a catch! In the broken economy, who wouldn’t want a job right after graduating? Names like University of Phoenix, DeVry University and Kaplan should ring a bell and they might sound like legit state universities, but there’s more than meets the eye.
These institutions are for-profit educational firms and are currently tied up in several lawsuits for violating state and federal laws, which include sending admissions employees to community colleges to try to recruit students during transfer fairs and filing inaccurate financial aid paperwork to cash in on the student checks. The U.S. Department of Justice and several state general attorneys have joined together to put a stop to this. The Educational Management Corp., EDMC, the nation’s second biggest operator of for-profit colleges, is also tied up in a lawsuit for falsely reporting job placement statistics.
Yep, pretty shady.
The EDMC was reporting high numbers of employment rates of former students in order to attract more students.
Finally, these firms are being called out for their money making schemes masquerading as quality education.