For-profit DeVry University reaches a settlement with Education Dept. over deceptive ads

October 18, 2016
  • Industry News

The Department of Education is subjecting DeVry University to tougher financial oversight as part of a settlement over the for-profit college chain’s alleged use of misleading information about the employment of its graduates in radio, television, online and print advertisements.

On Thursday, the federal agency said the school can no longer advertise that 90 percent of its graduates land jobs within six months of leaving school and must post a notice on its website stating that the claim is unsubstantiated. DeVry must also provide a letter of credit from a bank assuring the availability of $68.4 million to participate in the federal financial aid program.

The school has also been placed under a form of oversight known as heightened cash monitoring that requires DeVry to provide certain documentation before accessing federal financial aid dollars. And its participation in the financial aid program is now provisional for the next five years.

Read more at The Washington Post: https://www.washingtonpost.com/news/grade-point/wp/2016/10/13/for-profit-devry-university-reaches-a-settlement-with-the-education-dept-over-deceptive-advertising/