For Business Schools
For Universities
For Education Agencies
For Private Schools

Begin Group news

Мероприятия

24.07.2008

Begin Group проводит более 50 собственных мероприятий в год: образовательные выставки, деловые конференции, различные презентации, встречи выпускников и т.д.

More

Информационные ресурсы

24.07.2008

Компания Begin Group оказывает услуги по созданию и развитии медиаактивов, посвященных образованию.

More

B2B

24.07.2008

Рекламное агентство предлагает услуги по разработке рекламных и PR-кампаний на основе уникального опыта и знаний, полученных за годы работы с российскими и ведущими мировыми бизнес-школами, ведущими высшими учебными заведениями, частными школами

More

No documents found.

Begin Group: For-profit schools see more defaults

Students who took out government loans to pay for their education at for-profit colleges had a 21% default rate in the first three years they were required to make payments, about three times the level of four-year public and nonprofit institutions, according to a Wall Street Journal analysis of government data scheduled for release Monday.

The disclosure of the new default rates comes as the Department of Education has proposed rules to restrict recruitment practices at all colleges. Major for-profit schools, some of which have multimillion-dollar advertising budgets, have been accused of using aggressive marketing tactics. Critics allege the high defaults occur because schools enroll unqualified students who get little benefit from the education and therefore can't pay back the government.

 

Percentage defaulting on governmental loans

 

Unlike traditional schools, which are operated by governments or nonprofits, for-profit colleges distribute income to shareholders and range in size from mom-and-pop businesses to large publicly traded firms. Recently, the for-profits have branched out from offering just career-training certificates to granting bachelor's and professional degrees.

Starting in 2014, because of concern about rising defaults, schools with rates exceeding 30% for three years – or 40% for one year – can lose federal financial aid, which can put schools out of business. For-profit schools rely heavily on federal aid programs.

John Hechinger and Tom McGinty
The Wall Street Journal

 

Market News

14.03.2012

06.02.2012

26.05.2011

news archive