Congress is taking aim at for-profit colleges that target veterans, but don’t provide a quality education.
Congress thought it had solved the problem of for-profit colleges that exist only to collect tuition from student loans. Congresswoman Jackie Speier says a decade-old federal law limits a school’s financial aid to 90 percent.
"Congress reasoned that if the school provided a quality education, then it should attract both students who paid for their education out of their own pockets, as well as students with federally subsidized tuition grants," Speier said. But Speier says a loophole allows schools to count loans from the new G.I. Bill as the other 10 percent. The Democrat from San Mateo introduced a bipartisan bill that closes the loophole.
Speier accuses a few “bad apple” for-profit colleges of “aggressively marketing” their schools to members of the military — and of “unbelievable” lobbying against the measure on Capitol Hill.