Dick Durbin: “I have come to the floor many times to talk about for-profit colleges and universities. This is a problem and a…”

“I have come to the floor many times to talk about for-profit colleges and universities. This is a problem and a challenge we face. What you need to know are three numbers to understand the for-profit college and university industry in America. By way of preface, this is the most heavily subsidized private business in the United States of America. What are we talking about? The largest, the University of Phoenix; Kaplan University; DeVry University; Rasmussen; Corinthian--you have heard all the names because they advertise constantly, and the money they use to advertise comes from Federal taxpayers. There are three numbers--and if I were a college professor or law school professor, I would say this is going to be on the final--on for- profit colleges and universities. Ten percent of high school graduates attend for-profit colleges and universities--10 percent. Twenty percent of all the Federal aid to education goes to for-profit colleges and universities. Why so much? They charge so much. Their tuition is so high. Ten percent of the students; 20 percent of the Federal aid to education; 44 percent of all the student loan defaults in America are at for-profit colleges and universities. Ten percent of the students, 44 percent of the defaults. Why? They charge so much that the students can't finish their education or they end up with a worthless diploma. That is the reality. There is a second reality. This industry is in serious economic trouble.…”