The Consumer Financial Protection Bureau is seeking information from a national accreditor about the for-profit colleges it oversees, which include several controversial chains.
The Accrediting Council for Independent Colleges and Schools received the civil investigative demand from the CFPB in August. It is unclear whether the council, which is the largest national accreditor, is the target of an investigation, or whether the request is linked to another probe.
While regional accreditation is the standard for most nonprofit colleges, many for-profits and career colleges are recognized by national accrediting associations. And several national accreditors have the power to grant federal aid eligibility to institutions.
A CFPB spokeswoman said the bureau does not discuss potential enforcement activity. But Albert Gray, president and CEO of ACICS, said his organization received the request from the bureau, which referenced several specific institutions, all of which are for-profits. The demand also seeks information on all colleges ACICS accredited over a period of several years.
Read more at Inside Higher Ed: https://www.insidehighered.com/news/2015/10/15/federal-watchdog-seeks-information-national-accreditor-about-profit-colleges