For-Profit Schools

For-profit Schools

Over the past couple years, the popularity and number of students attending for-profit schools has increased tremendously. This is mainly because public and private universities cannot keep up with the demand for higher education. With little room in the public and private schools, students are settling on attend for-profit schools. Because for-profit schools are striving to make a profit, they are far more expensive than community and public universities. To help expand and increase student enrollment, for-profit schools use expensive advertising and misleading recruiting practices.

With expensive recruiting and a goal towards profit, for-profit schools can get very expensive. To pay for their schooling, students turn to federal grants and loans. These government loans allow for the students attend college. Without them, many students would never find enough money to support their higher education. This is one reason why federal student loans are the life-giving force of for-profit schools. Seventy-five percent of their revenue comes from federal grants and loans. The for-profit schools have much incentive to recruit students who will use federal loans. If a student cannot pay back the federal loans, the for-profit school is not on the hook. It is the taxpayers’ money. Essentially, for-profit schools are bringing in students who will not be able to succeed or graduate and loading them up with debt. Some of those who graduate will still find it difficult to repay their student loans. The students were promised a good education and ease of locating a job. For-profit schools do not provide the support structure to help students succeed and find jobs after graduation. With little help from the school and income ranging from little to none, it is impossible to repay the loan debt that has accumulated. Thousands of these students will default on their loans.

The for-profit schools that arrange for students to have federal...