Man Enrolls In ITT With High Hopes and Graduates With Crippling Debt and No Job Prospects
One of the most common complaints to the Consumer Financial Protection Bureau regarding student loans has to do with for-profit colleges that are accused of misleading their students and saddling them with huge private loan debt. Not only have many of these colleges failed to help their graduates find work in their field, it appears that they also misrepresented the number and quality of jobs that would be available to them with their degree. On top of that, the bill for attending a non-profit university can often exceed what it would have cost in order to go to a traditional college for an education.
There is, for example, one student who tells the story of having enrolled in ITT Technical Institute for a few different reasons, not the least of which was that the school told him the cost of attending would be considerably less than going to a traditional college. He was interested in a degree in computer security and his ITT representative made it sound as if he would have access to a wide variety of jobs after he’d graduated, all of which would be fairly secure and well-paying. They lined him for federal student loans for the first couple of years that he attended and, when all of those were exhausted, they switched him over to private loans to complete his schooling. It wasn’t until he was about to graduate that he was presented with a full accounting of his student loan balance, which came to over $90,000 in total.
Aside from the fact that he could have attended a number of public universities for less than that amount, this student quickly found out that some of his loans were through Sallie Mae, who refused to work with on a repayment plan. His payments were set at $2,000 a month, regardless of the fact that he was unemployed and highly unlikely to find a job that paid that well anytime soon. Rather than offering a forbearance or deferment to their client, Sallie Mae went into high gear, destroying his credit and making it virtually impossible for him to find a way out of the financial hole that he was in.
This is just one more example of the way that many students were taken advantage of by for-profit colleges and private lending firms. Instead of being rewarded for going to school, this man now faces a lifetime of crippling debt with a degree that is effectively worthless.
An attorney developed debt relief program has been released for individuals with private student loans in financial hardship. Take the free private student loan debt review to find out if you qualify.
Please engage in the discussion below about your student debt experiences. We look forward to hearing from you.