Dive Brief:
- Georgia-based Ashworth College, an online institution, settled charges from the Federal Trade Commission that alleged it misrepresented the school to prospective students with its marketing.
- The charges focused on claims that students could switch careers or jobs by getting Ashworth credentials and that they could transfer Ashworth credit to other institutions, both of which the FTC argued weren’t entirely true.
- The settlement order includes an $11 million fine the FTC waived because of Ashworth’s inability to pay and requirements that the institution stop misrepresenting the benefits of its programs and the transferability of its credits, according to the FTC.
Dive Insight:
Inside Higher Ed reports the FTC launched a probe into DeVry Education Group in 2014 but has yet to announce any official charges or settlement details. The Department of Education has increased the number of regulations for-profit institutions must abide by, the Consumer Financial Protection Bureau has jumped to the defense of student loan borrowers who attend for-profit colleges and attorneys general in several states, most notably California, are investigating the recruitment practices of institutions, including the now-defunct Corinthian Colleges Inc.