Hostile Takeover Target: Private Career Colleges

Career College Central Summary:

Education Secretary Arne Duncan acknowledges that the “majority of career colleges play a vital role in training our workforce to be globally competitive.”
Yet he insists that students must be protected from debt he says is foisted on them by a relative handful of bad actors.
Rather than hold those select institutions accountable through existing laws, since 2010 Duncan has been attempting to use his department to gain control of the private for-profit career college sector, which is the fastest growing nationwide increasing from 200,000 students in the late 1980s to 2 million as of 2010 (pp. 2, 5, 7-8).
This isn’t the Obama administration’s first attempted takeover of higher education.
Thanks to an Obamacare provision the U.S. Department of Education took over direct lending to students.
Duncan insisted that the feds would be more efficient and cost-effective than private lenders, but costs actually went up.
In recent years the Obama administration has also pushed interest rate freezes on federal student loans, which have done nothing to make a college education more affordable.
The administration’s latest takeover scheme is attempting to impose onerous regulations on all private for-profit career colleges.

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