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For-profit schools sue to stop new rules. thoughts?

WASHINGTON (Reuters) – A group of for-profit schools on Friday filed a lawsuit against the federal government on Friday to stop implementation of three costly new rules.

The rules were part of a larger package of new regulations being imposed on the for-profit sector, which has been accused of churning out poorly educated students with large debts.

The Association of Private Sector Colleges and Universities (APSCU), which represents more than 1,500 for-profit schools, filed the lawsuit in the U.S. District Court for the District of Columbia asking the court to toss out the rules, which are due to go into effect on July 1.

The rules are to stop deceptive advertising by schools, to bar recruiters from being paid based on how many students they enroll and to require states to authorize post-secondary schools for their students to be eligible for federal loans.

The lawsuit did not challenge the yet-to-be-finalized and most controversial of the reforms, known as the "gainful employment" rule.

That rule would require schools to show that students are paying back federal loans or can do so. Students at schools that fall short would be barred from receiving federal loans, which would cripple many schools.

Answer Question
 
sweet-a-kins

Asked by sweet-a-kins at 3:25 PM on Jan. 21, 2011 in Politics & Current Events

Level 34 (67,502 Credits)
Answers (8)
  • sweet-a-kins

    Comment by sweet-a-kins (original poster) at 3:25 PM on Jan. 21, 2011

  • I hope the new law is upheld because these for profit colleges are horrible!
    twinsplus2more

    Answer by twinsplus2more at 3:29 PM on Jan. 21, 2011

  • Why are they horrible?
    TARARENEE

    Answer by TARARENEE at 3:30 PM on Jan. 21, 2011

  • The rules were part of a larger package of new regulations being imposed on the for-profit sector, which has been accused of churning out poorly educated students with large debts.

    sweet-a-kins

    Comment by sweet-a-kins (original poster) at 3:35 PM on Jan. 21, 2011

  • I definitely think it's a good thing. So many students are getting sucked in to these schools with lies and promises of great things. Sad.
    missanc

    Answer by missanc at 3:39 PM on Jan. 21, 2011

  • I feel bad for people who attend these schools and rack up thousands of dollars in debt with no idea that the degree they get is literally not worth the paper it's printed on. We have one of those near here, where you can do the classes online or go to the campus. About the only thing you'll get after attending is a job as an admin assistant. If you try to go on for a 4 year degree elsewhere, the school is not accredited and nothing transfers to any legitimate college in the country. I've lost count of how many people I've talked to at my school who are starting from scratch as freshmen and retaking everything they took at that school (which they still have to pay for), because it counted for nothing.

    Anything that forces them to be honest with the students before they enroll is fine with me.
    NotPanicking

    Answer by NotPanicking at 3:44 PM on Jan. 21, 2011

  • What I don't understand is why people don't research these colleges before they do sign up. I mean if you are going to spend $30,000 just for an Associate degree and $60,000+ for a Bachelor's degree, it looks like you would want to get your money's worth. I mean, you wouldn't buy a car or house for that much without researching it, doing inspections etc.

    JeremysMom

    Answer by JeremysMom at 3:46 PM on Jan. 21, 2011

  • Why are they horrible?? Because the credits you earn cannot transfer anywhere else. You get an education degree from Phoenix online or ITT Tech etc - you may not be able to get a job because most places don't acknowledge the degree.

    My husband had someone with an engineering degree from ITT tech interview with him and refused to hire him because in the interview process hubby found that the guy had no clue what engineering was and couldn't complete any of the simple tasks that they were asked to do as a test of ability.

    So, sure go ahead and pay 2, 3,4....times the cost of a state public or even private non-profit university in your area for a worthless degree that most places will not acknowledge as a "degree". You are far better off figuring out how to get your degree one course at a time thru your local community college.
    twinsplus2more

    Answer by twinsplus2more at 7:51 PM on Jan. 21, 2011

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