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Julie B
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Herzing University, a for-profit college based in Milwaukee, settled its lawsuit with in Minnesota over claims its medical assistant program was misleading students. Students entering the program believed they would be accredited and certified to work as medical assistants upon graduation but that turned out to be inaccurate at best. The program lacked the necessary accreditation to make students eligible to take the licencing exams and left students unemployed in their field of study.
Medical assistants must receive their education from a school accredited by either the Accrediting Bureau of Health Education Schools or the Allied Health Education programs in order to be eligible for licensing and employment in the state. As Herzing held accreditation from neither regulatory bodies, all those graduating from the program were unable to get the licenses required to work as medical assistants in any clinical environment.
The settlement reached between the involved parties indicated that Herzing must fully disclose its accreditation status to its students and be fully forthcoming in regards to its licencing capabilities upon graduation. This was to be put in place for not only the medical assistant program but for all programs offered by Herzing University. The court further indicated that all advertisements from the university must fully disclose the school’s accreditation and the school’s ability to provide education which allows licensing. This applied to the school’s website in addition to all forms of advertising generated by Herzing to allow potential students to make informed decisions regarding their education prior to enrolling or taking out any loans for the program.
The Attorney General’s settlement provided students with four separate options as solutions to their fraud complaints and gave them some flexibility. Students were able to forfeit credits and diplomas and receive a full refund for the total cost of tuition and living expenses incurred during their program, or they could attend another school and receive a refund for tuition and living expenses for any credits that turned out to be non-transferrable. They were also given the option of a $7,500 credit if they decided to continue with Herzing and the school had to arrange it so they had the credentials necessary to take the CMA exam at no added cost. The final option provided was that they could refuse the first three options and pursue their own restitution claim.
Herzing agreed to the settlement and stated it would cooperate in full with the State’s decision and claimed it to be a misunderstanding. They also indicated they would offer students additional options to resolve the issues. This lawsuit applied to all former and current students at the time of settlement in Herzing’s Crystal campus. The school has been in business for over 50 years and has more than 40 programs. They offer education in business, design, technology, public safety, and health care in Akron, Ohio; Omaha; Atlanta; New Orleans; Birmingham, Atlanta.; Orlando; Toledo, Ohio; and in Kenosha, Brookfield and Madison, Wisconsin. While students may have lost time while attending the programs, at least they will not be trapped under momentous debt and defaulting on loans as is often the case with for-profit schools.
If you have questions or comments, please chat in the comments below or on the ChallengeStudentDebt Twitter handle.
If you feel you were defrauded by the school you attended or you are being treated poorly as a distressed borrower by your creditors, take the free challenge debt review to find out what options you have regarding your student loans.
