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ITT Technical Institute certainly knows how to create eye-catching commercials and with all the complaints and lawsuits it is also becoming well known as being an institution which scams students with its predatory lending practices. While most actors appearing in their ads boast of the pride they feel to have completed their education and to be working in the career they always dreamed of, the majority of reviews indicate that this is far from the experience in reality.
In March of 2014, charges were filed alleging that ITT Technical institute was defrauding and misleading its students by the Consumer Financial Protection Bureau (CNFB). The CNFB also claimed that predatory lending practices were being used to defraud students of their money, their dreams, and their futures. Students signing up for ITT programs were often signed up for expensive loans with high interest that they didn’t understand or hadn’t even realized they had applied for. Between that and the misrepresentation of potential salaries, misleading claims concerning credit transfers and program accreditation, students were often left holding the bag for thousands of dollars with nothing to show for their efforts.
Deceptive and abusive use of high pressure predatory loans, claims that ITT violated the Truth in Lending Act, and shocking reports that students only found out they had received these loans once collectors started chasing them for severely past due loans seem to be commonplace when it comes to ITT. The questionable behavior of school administration officials, graduating students’ inability to find jobs, inflated job prospect statements, and profiteering are the most common of complaints by current and former students.
Many students caught up in this financial nightmare are unable to return to college or university to gain the skills and education necessary for employment due to the fact that their credit has been totally destroyed due to their dealings with ITT Technical Institute. The training they received from ITT isn’t getting them the jobs they were told it would and those who can afford to are forced to return to public colleges and universities to repeat their entire course of study.
Those who are enrolled and decide to leave the program soon find out that their credits are non-transferrable and that they will need to begin the entire process over again or complete their training through ITT or risk having wasted their time. Students exiting the program find themselves buried in high interest debt, few job prospects, and experience problems with the rest of their finances. Indications are that ITT scammed students, knowingly getting them into loans with up to 64% chance of default destroying their credit for years to come. Those able to borrow at all are left paying higher interest rates across the board for car loans and mortgages if they can even get a financial institution to consider them at all.
Students left struggling to meet their financial obligations due to loan defaults are left with options such as working with private student loan debt companies which will work with students to get these loans paid off. These companies are often able to either have the total debt lowered or have the monthly payments lowered to make it more possible for students to pay them off.
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.