For-Profit Schools Get Bailed Out, Students Get Sold Out?
When the subprime crisis hit, Congress agreed to bailout the financial industry only after they were promised homeowners would see relief, too. But in the years since, it’s become clear even to Tim Geithner, the architect of the bailouts, that while the Administration went out of its way to save the arsonists of the crisis, the people burned by it were left without an Emergency Room.
Today, history risks repeating itself, as students scammed by a predatory for-profit school have yet to see meaningful relief — even as the school itself was bailed out by the government. And just as in the foreclosure crisis, the very entity in charge of providing relief to victimized borrowers has a financial incentive to leave them screwed.
