Rule targets for-profit colleges
WASHINGTON (AP) – The for-profit college industry says it will vigorously oppose proposed regulations by the Obama administration designed to protect students at for-profit colleges from amassing huge debt they can’t pay off.
The proposed regulations would penalize career oriented programs that produce graduates without the training needed to find a job with a salary that will allow them to pay off their debt. Schools, for-profit or not, that don’t comply would lose access to the federal student aid programs.
“Career-training programs offer millions of Americans an opportunity they desperately need to further their education and reach the middle class,” Education Secretary Arne Duncan told reporters Thursday. “Today, too many of these programs fail to provide students with the training that they need at taxpayers’ expense and the cost to these students’ futures.”
If finalized, the regulations would take effect in 2016.