Several years ago, the Federal Government passed a new GI Bill, which provides veterans with the full cost of the most expensive public school tuition in their state, along with housing and expenses.
With all these resources, you might wonder which schools are profiting the most?
According to a recent report, the answer is a private for-profit schools such as the University of Phoenix, which is America’s largest online colleges. The school enrolls more than 17,000 veterans. In the last year alone, the University of Phoenix took in more than $76 million from veterans.
Schools like the University of Phoenix and other for-profit schools have earn hundreds of millions of dollars since the new GI Bill passed. They aggressive recruit veterans, who are attracted to the distance learning component of these institutions. Despite assistance from the the GI Bill, however, most veterans are being forced to take out substantive loans to cover the $20,000+ a year bill.
In fact, schools like the University of Phoenix have come under fire recently for lying to prospective students about the cost of attending school, as well as other issues including whether or not past credits will transfer and the employability of graduates. Another major issue is the rate of graduation. While the national average hovers around 58 – 60%, for-profit college have significantly lower graduation rates — as low as 25-30%.
“This raises serious questions about the share of military benefits that go to schools that have very poor outcomes,” Senator Tom Harkin (D-IA) recently told ProPublica.
Does it raise questions for you, too? Are you a vet with GI Bill benefits? Have you enrolled in an online, for-profit university? Weigh in in the comments section.