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Sheryl S
Latest posts by Sheryl S (see all)
- Private Student Loan Horror Story - May 24, 2016
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Strayer has made the list of for-profit schools facing lawsuits over their deceptive practices. Claims that the school has committed fraud and scammed its students are a bit unexpected when you look at the age of this school and its previous reputation. With the introduction of their online model and implementation of various legislation implemented to make attending school easier for more people, Strayer took advantage of those most vulnerable and left them and the taxpayers footing the bill.
The tuition and other costs at Strayer University are significantly higher than those of traditional universities yet they spend less per student than other schools offering similar programs. When we examine the lawsuits and other allegations against Strayer University, we see a repeating statement. Strayer inflates the costs of their program in order to force lower-income students into taking federal and private student loans. With their claimed high job placement rates and above average salary claims, students who want nothing more than a chance at a better life think this is the only option and enroll. Predatory and deceptive enrollment practices greatly influence those inquiring about enrollment and many students claim they felt so overwhelmed by the enrollment counsellors they were signed up and had filled out a bunch of documents they didn’t realize the purpose of.
Lawsuits against Strayer University revolve around its misrepresentation of job prospects and salaries. This marketing tactic aims for those in poor financial positions working jobs they can’t see working the rest of their lives. They sign up hoping that this is the first step towards their dream of living comfortably only to find out that not only is it going to cost them an arm and a leg, the diploma or degree is often overlooked as being credible by employers. Students are then left unable to find jobs due to this scam and end up defaulting on their federal or private student loans, damaging their credit and their future potential.
Misrepresentation of the quality, cost, and value of a Strayer University education, deceptive lending and marketing practices, and targeting military service persons attending on GI bills are this “university’s” claim to the hall of shame. Although this school claims to be accredited, student often find out their local campus has lost accreditation, never had it, and that other colleges and universities will not accept their credits when they ask to transfer. Considering that a Strayer University maxes out financial aid student’s loan maximums, students are then left with a useless piece of paper they can’t get a job or further their education with.
Many student complaints indicate that their program requirements changed mid-stream and they had to begin their entire course of study over, that they would reach their graduation date only to find out that the needed a few new credits, or that their diploma couldn’t be released due to outstanding charges to their account they were unaware of. Perhaps they were negligent, you think? Military personnel attending Strayer University often do so on GI bills which cover all costs associated with the program. They, too, find out that they can’t proceed with their education, or can’t receive their transcripts or diploma because they owe money on their Strayer account. Pretty impossible considering the government paid all costs associated with their program. This indicates that Strayer is intentionally bilking students of their money one last time before they exit the door.
This school’s dropout rate is more than substantial and the large number of students left in loan default standing means that they are unable to pursue other educational options and, in the case of federal loans, taxpayers are left paying the loans.
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.
