(
LATimes) Critics say that the entire business model, especially in the case of publicly traded companies, is premised on a college's ability to churn through many thousands of students, whose federal Pell grants of up to $5,550 and Stafford loans are paid to the school, with no accountability for student learning or graduation.For more than 50 years, the federal government has provided students with grants and loans to help pay for college, the LA Times reports.
At many of the major for-profits, federal dollars now account for more than 80% of their revenue, according to a Department of Education report.
Yes, it is an investment for careers that require it, because you won't even get in the door without that paperwork. Especially in New York City were everything is like living in an episode of
Frasier, its a nightmare. There is a lot of brown nosing and looking down on people that didn't go to Columbia or NYU, how horrible. But, many of these people can barely pay their rent because their credit is maxed out. In New York CIty and doesn't matter what borough nor does it matter how the area looks you will pay on average $1,500 every thirty days plus utilities.
Doctors, No one is going to let you operate on someone without going the systems.
Lawyers, No one will hire you in any law firm and allow you to represent clients without a law license.
Teachers, No one will allow you to work in any public school system without going through it yourself (teaching license)
All are just small examples, but you get the point. The article goes on - an ongoing investigation by the Senate Committee on Health, Education,
Labor and Pensions (HELP) has raised serious questions about whether
students — and taxpayers — are getting good value for the surge of
federal dollars flowing to for-profit colleges.
The word "
FOR PROFIT" should be a red flag it means in a nut shell that these schools have one goal and that is to make money, they are not concerned weather you like you education, weather you thought it was valuable, when you take out a loan to go to school there is a questionnaire that tells you that you are still responsible for the loan regardless of you experience at the school. So, if a teacher decides to talk about is kids lemonade stand for 45mins so be it.
Bankruptcy is not an option as you know or should know it is not on the list of loans that can be remedied in this way - and many are deferring their loans in order to prolong the loan they got before. All in all their just putting themselves in deeper debt. Taking on more loans to delay the first loan. Now that the government has control of these loans what will be their remedy if any.