Department Of Education Demands That Sallie Mae Repurchase Loans Made To Trade School Students

In a class action against a for-profit vocational school in Florida, we learned that the school lacked the resources to answer a judgment in our favor.  Accordingly, we joined note holder Sallie Mae to the case via the FTC Holder Clause in the students’ FFEL notes.  In discovery, we learned that Sallie Mae sold the. . .
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From The Admissions Overreach Desk . . .

David Halperin of Republic Report says that a California campus of for-profit Everest College admitted a student who read at a third grade level.  Yes, that’s right:  a college admitting a student who read at a third grade level!  The school’s librarian discovered this, and reported it to both the College and to the California. . .
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What Happens When The School Promises Placement Services, And Doesn’t Deliver Them?

Lots of people enroll in for-profit schools because the school promises them “lifetime placement assistance.”  School salesmen and saleswomen say that the school provides placement assistance, and that its placement department is available to help graduates whenever they need it – even 10 years after they graduate.  People who graduate find that it’s not true. . . .
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You’re In A Bad School: Should You Drop Out Or See It Through?

Sometimes I get calls from students who are still attending their school.  They are frustrated that the school isn’t giving them what it promised.  This raises a hard question:  should they drop out or complete the program? On the one hand, dropping out reduces the amount of student loans you will have to repay.  However, it exposes. . .
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Why no educational malpractice?

Many people come to me with complaints about their teachers.  They say their teachers didn’t know the subject, were more interested in discussing their personal lives than their subjects, had spotty attendance, or were always unprepared.  Sometimes for technical classes, they say that the classrooms lacked the basic equipment needed to learn the subjects, such. . .
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Thirteen states looking into recruiting violations at large for-profit school chains

Thirteen states have requested information from some of the nation’s largest for profit school companies.  These include:  EDMC (which owns Argosy, Art Institutes and Brown Mackey); ITT Educational Services (which owns ITT schools and Daniel Webster College); and Corinthian Colleges (which owns Everest, WyoTech and Heald).  The states are seeking broad categories of information from. . .
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Sanctions order against Sallie Mae!

We have sued Sallie Mae on the basis of the holder clause described in my previous post.  In our judgment, Sallie Mae was extremely uncooperative in producing documents.  We were unable to get a clear answer on the seemingly simple question of identifying the holders of the involved student loans.  If you don’t know who. . .
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What if you were defrauded, but your school doesn’t have your money any more?

What happens if your school defrauded you, and then goes bankrupt before you can get your money back?  Or maybe it just doesn’t have enough money to compensate all of its victims.  Do you have any recourse, or will you be stuck paying your student loans anyway? Well, there’s some hope in this situation.  To. . .
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Do you think your school was a scam?

Lots of people feel bad about their experiences at school, especially at for-profit schools.  But, how can you know if the school misled you in a way that gives you a way to get even? For starters, “misled” is the right word.  If the school said something that wasn’t true, or that gave you a. . .
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UEI College’s Low Placement Rates

We are hearing some bad things about UEI College, a for-profit school with many campuses in California.  For one thing, UEI’s accreditor has expressed concerns about UEI’s low placement rates.   The accreditor has gone as far as to question whether or not UEI is fulfilling its vocational training mission!  If these things are true, then. . .
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