The U.S. Department of Education released new regulations last week that increase federal oversight of for-profit colleges (e.g., University of Phoenix, DeVry University, ITT Tech) and seek to protect student loan borrowers. This follows increasing scrutiny from lawmakers about the practices of for-profit colleges.
For-profit colleges spent about $8 million in federal lobbying last year, and they fought hard to stop these regulations. The regulations, in part, provide that for-profit colleges must pass a three-part test in order to be eligible to receive federal student loans and grants. Student debt advocates applauded these regulations, but many think they do not go nearly far enough to protect student borrowers. What do you think?
Read more here: http://www.politico.com/news/stories/0611/56077.html