Hillary Clinton’s $350 Billion Education Plan Would Hit For-Profit Colleges Hard
In a broad new $350 billion higher education plan released today, Hillary Clinton took aim at two of education’s biggest and most troubled industries: for-profit colleges and student loan servicers.
Clinton’s so-called “New College Compact” is largely centered around reducing debt at public colleges and making it easier for students to repay their loans. But it also calls for a crackdown on alleged abuses and conflicts of interest within both the for-profit college and loan servicing industries, which have been the target of consumer protection lawsuits and increased federal oversight.
Clinton said she would cut bad actors out of the industry, cutting off federal aid to schools that had been proven to mislead students and “banning repeat offenders” in the student loan servicing industry from holding federal contracts. She said she would have “zero tolerance” for companies that overcharged military service members, a widespread practice in the past.