DES MOINES, Iowa- Iowa's part of a nearly $494 million settlement involving a for-profit college, called Career Education Corps (CEC).
The states accused CEC of using deceptive practices, including using a high-pressure tactic to try and recruit students to enroll in CEC, as a way to further their education, and resolve their personal debt.
The states accused CEC of misrepresenting the total cost of education, and whether credits earned could transfer to other schools. The states also accused CEC of misrepresenting the number of students who earned licenses needed to get jobs, salary information, the cost of education, debt, default rates and other information.
Iowa Attorney General Tom Miller says the settlement means 715 Iowa students will have about 1.4 (m) million dollars in student debt forgiven. The average individual debt relief will be $2,700.
CEC is based in Schaumburg, Ill., and offers primarily online courses through American InterContinental University and Colorado Technical University.