Title IV of the Higher Education Act (HEA; P.L. 89-329), as amended, authorizes programs that provide financial assistance to students to pursue postsecondary education at eligible institutions of higher education (IHEs). In academic year (AY) 2020-2021 (July 1, 2020-June 30, 2021), 6,063 domestic institutions had written agreements with the…

Title IV of the Higher Education Act (HEA; P.L. 89-329), as amended, authorizes programs that provide financial assistance to students to attend certain institutions of higher education (IHEs). In academic year (AY) 2016-2017, 6,760 institutions were classified as Title IV eligible IHEs. Of these IHEs eligible to participate in Title IV programs,…

Presented herein is a statement of George A. Scott, Director Education, Workforce, and Income Security. The author discusses the extent to which the Department of Education's policies and procedures for monitoring eligibility requirements for federal aid at proprietary schools protect students and the investment of Title IV funds. This testimony…

Reports on trends to extend state student financial aid to students attending for-profit colleges. State legislatures are following the lead of Congress in treating proprietary institutions like traditional colleges. Examples from Colorado, Indiana, and Ohio are offered, as are data on the 10 states and territories that provide the largest share…

The student loan default rate was 9.6% in 1996, a decline of 12.8% since the 1990 peak, saving the federal government $3 billion over six years. Since 1993 the Department of Education has barred 1065 institutions, mostly for-profit trade schools, from participating in federal student loan programs; institutions with a 40% default rate can lose…