March 3, 2014
Federal Consumer Watchdog Agency Sues ITT, Accusing It of Predatory Lending
The nation’s top consumer watchdog sued ITT Educational Services Inc. last week, accusing the for-profit college chain of pushing its students into high-cost private loans that it knew were likely to end up in default.
The lawsuit, the first filed by the Consumer Financial Protection Bureau against a for-profit college, says that ITT offered its students zero-interest loans to cover the cost of their first year, knowing that they would be unlikely to repay at the end of the
The Chronicle Review