More than 400 students at the Murray campus of ITT Technical Institute were left high and dry when the for-profit college went of business just before classes were to begin for the fall term last week. Nationwide, more than 35,000 students were looking for other education alternatives and roughly 8,000 faculty were without jobs. The school had 130 locations across the United States.
More than 400 students at the Murray campus of ITT Technical Institute were left high and dry when the for-profit college went of business just before classes were to begin for the fall term last week. Nationwide, more than 35,000 students were looking for other education alternatives and roughly 8,000 faculty were without jobs. The school had 130 locations across the United States.
Last month, the U.S. Department of education stopped ITT from accepting students who planned to use federal aid to finance their education there. The federal government also demanded a $250 million payment from ITT “in case the school’s actions cause it close,” according to a statement from Ted Mitchell, U.S. undersecretary of education, issued at that time.
Citing that action by the government as the reason for the school’s demise, ITT notified students in a letter dated early last week.
“We proposed alternatives to the department, including giving us time to sell our schools to another company that would continue your education or conducting an orderly closure of our schools over the course of the September term,” ITT Technical said in the letter. “Days ago, the Department of Education told us they were rejecting our proposals, and standing by their new requirements.”
“ITT has been financially sound, had no intention of closing down and has been responsive to all of the requests of the various regulatory agencies that oversee our schools,” the message to students said.
Following the closure, U.S. Secretary of Education John King Jr. announced that ITT Tech students’ federal loans can be “wiped away” if they meet certain requirements. Alternatively, students can transfer their credits to another school, though how many of those credits are successfully transferred depends on the new school, King said.
“It is important to note that transferring your credits may limit your ability to have your federal loans discharged,” King concluded in an online message to students.
Other area institutions are reportedly looking into ways to serve the displaced students, including the ability to transfer ITT credits.