DeVry settles claims of deceptive advertising for $100 million

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Lots of people choose a college to boost their earning potential. So it might have been appealing if you came across an ad from DeVry claiming that 90 percent of graduates actively seeking employment landed jobs in their field within six months of graduation. And that DeVry bachelor’s degree graduates, on average, had 15 percent higher incomes one year after graduation than the graduates of all other colleges or universities.

The FTC investigated these claims and in January 2016, filed a complaint alleging that DeVry stretched the truth and misled prospective students. The outcome — DeVry agreed to a $100 million settlement of the FTC’s charges. The settlement provides relief for affected students, prohibits DeVry from misrepresenting the likelihood of graduates to get a job as a result of their degree, and from misrepresenting the compensation or salary that graduates have received or can be expected to receive.

What happens to the $100 Million? Nearly half, $49.4 million will be distributed to qualifying students who were harmed by the ads. The other $50.6 million goes to student debt forgiveness. The debt being forgiven includes the full balance owed — $30.35 million — on all unpaid private student loans that DeVry issued to undergraduates between September 2008 and September 2015, and $20.25 million in student debts owed to DeVry for things such as tuition, books and lab fees.

What should you do if you were affected? Be on the lookout for information from the FTC on your eligibility for a refund or for a notification from DeVry explaining your debt forgiveness. DeVry will inform the credit bureaus and debt collection agencies of your debt forgiveness and will notify you within 30 days after the court enters the order. DeVry also will release transcripts and diplomas that were withheld from students due to outstanding debt and will cooperate with future requests for those documents. And DeVry will set up a toll-free number to help students whose credit reports don’t show the right information about their debt forgiveness. 

You can find out more about federal direct loans you took out to finance your education at the Department of Education’s loan repayment page.

For information about FTC’s DeVry redress program, visit FTC.gov/DeVry and sign up here to get updates by email.

Tagged with: college, settlement

Comments

Finally justice is served. Caveat emptor!

Not even close. Probably less than 100 students get a full refund. How is that justice. Ftc and devry and lobbyists all in bed.

I'm still waiting to be contacted!

Me too!

Me too.

I have not been contacted either

You should have been informed through email and a letter in the mail. I received both in the beginning of January. Remember, this only affects those who took a loan from DeVry themselves.

Loan from DeVry themselves.. Elaborate please.

I didn't take a loan and I still received a check

I just read about this. Attended Devry Online between 2005-2009 part time online. I regret that decision. Hopefully I can learn more about this and how to apply, assuming I qualify.

To be eligible for a refund, a person had to meet four criteria. The first criteria is that the person enrolled for the first time in a bachelor’s or associate’s degree program at DeVry University between January 1, 2008 and October 1, 2015.

What about those of us that went to devry in 1995 and 1995. Don't they get included in this lawsuit

Yep same here.

Me too. Not a word from DeVry

I'm still waiting also.

I wasn't contacted but i called them and I'm getting a check for $764 but I have 60K in student loans on income based repayment...its something i guess but if my degree was worthless before its seems its really worthless now..I graduated from college with a fraud lawsuit scandal. great :( Its like I don't even have a degree now but I have the loans for it.

Exactly, I'm only receiving $327 back and that still leaves 85000 with interest added constantly. I rather them keep the 327 and remove that debt from my credit report and I mail back their degree. I will be highly satisfied then.

what number did you call? I wasn't contacted.

I have 100,000 plus and they sent me a stupid little check. I have a worthless degree (MBA) in which I wasted years of my life working to receive, and now I have a huge debt and still no decent job. Pllleeeease!

What number did you contact?

Same here.. Enrolled in Sept 2008 and took undergraduate classes until 2011. Still have over 65k in student loans ($629/mo) and haven't heard a word from DeVry or FTC...

I have not been contacted either...Attended 2011-2014

Please do what we know is right.... if is feels wrong it is. If you feel bad stop doing it. I pray you all understand threnody more to life than war n $$$$

It took so long to go after this fake school that promise so much but all their promise brings is disappointment. Shame on this school from a Graduate of Keller School. They all need to suffer just as many students are suffering with repayment. I hope that the whole Devry Education Group as they like to call themselves go bankrupt very soon because that would be justice for me and for so many.

I spoke to a John R, Account Management Representative at DeVry/Keller Graduate School of Management. He said to me that the settlement is only for undergrads of DeVry not graduates of Keller Graduate School of Management. I received my Masters I. Summer or 2014 Information Systems Management. I have not landed a job in Technology. I had to get an office job because I had two kids to take care of. I am struggling to make ends meet and with the student loan payments are killing me. Getting a Masters gave me hope that I can provide but it turned out to be a bad investment. My husband and I both got our Masters through Keller. Led to believe we would land a job in our chosen field. This is how they sold it to us. So upset we can even get help with this.

Amazing how they used the same "advertising" on those of us who entered the MBA program. I'm with you, graduated in 2014(MBA) & was told we would be placed. Now 2017 & no job offered that would pay anywhere near what I paid for my MBA!

I'm still waiting to be contacted.

Hi, I am a victim that graduated from DeVry and then went on to attend and graduated from Keller (Oct 2015). I have a few loans (unsub) which I never authorized and never wanted, however, after graduation I found out it is on my loan statement. It has been a struggle for me to pay off all the loans since graduating and Navient is not helpful at all. I like to know how I can be a part of this settlement since I was fooled into attending and DeVry gave me loans that I never wanted...

For information about FTC’s DeVry redress program, visit FTC.gov/DeVry and sign up here to get updates by email.

How will this settlement address veterans who used or exhausted VA benefits to pay for tuition?

People with questions about benefits and remaining entitlement under the GI Bill should contact the U.S. Department of Veterans Affairs’ Education Call Center at 1-888-442-4551 or through its Facebook page.

That doesn't answer the question. Do people that used any pre or post 911 GI Bill get compensated? We only get 36 months of benefits. If we went to DeVry and used any portion of that, we can't get that time back. The only way we could be compensated is to give the full value of what was paid back to the veteran. This way, we can spend our very hard earned education benefits at a school that fulfills its promises and does not intentionally deceive their students, prospective students, and alumni. Some vets signed up and donated years of their life to the service of our country specifically for these benefits. Now many of them have been convinced to spend this one-time-use compensation on a school that they feel embarrassed to write on a resume.

Let me restate the question. Do those that used VA benefits get compensated. And if so, at what rate? 100%? 50%? 10%? A handshake and a gold star?

The FTC has updates about DeVry refunds. The FTC plans to mail checks before the end of the summer 2017 to people who:

  • enrolled for the first time in a bachelor’s or associate’s degree program at DeVry University between January 1, 2008 and October 1, 2015;
  • paid at least $5,000 with cash, loans or military benefits;
  • did not get debt or loan forgiveness as part of this settlement; and
  • completed at least one class credit.

The amount of each refund will depend on how much a person paid to DeVry.

The FTC will distribute the $49.5 million settlement fund among 175,000 eligible students. Each student will get back a percentage of the total amount the student paid to attend DeVry. If some people don’t cash their checks, the FTC will use the remaining money to send a second round of checks.

I first time enrolled in DeVry Institute of TECHNOLOGY not UNIVERSITY in 1992 for one semester. I enrolled for the first time with DeVry UNIVERSITY not TECHNOLOGY in 2008. WHY DOESTHAT NOT QUA!FY ME FOR A REFUND. AND WHO DO WE FILE A COMPLAINT WITH ON THIS ISSUE. FTC Decry University or Dept of Education.

The DeVry refund update lists the criteria you must satisfy to be eligible for a partial refund from the FTC. One of the four criteria is that you enrolled for the first time in a bachelor’s or associate’s degree program at DeVry University between January 1, 2008 and October 1, 2015.

If you enrolled at DeVry outside those dates, you aren't eligible for a partial refund. You can file a complaint about this with the FTC at FTC.gov/complaint.

so doing the math here rounds out to about 282 per person.

So if I were to receive a check does that mean I did not get a loan or debt forgiveness as part of the settlement.

As part of the FTC settlement with DeVry, DeVry was required to forgive and cancel the entire unpaid balance of some private student loans and cancel the debts some students owed to DeVry for things like tuition, books and lab fees. If you were eligible for loan forgiveness or debt cancellation from DeVry, you should have gotten a letter or email from DeVry by the end of January 2017.

 

Please read the letter that came with your check. It has more information for you.

The student that have student loans that are not private were deceived just like the one that had private loans, I was told they only forgive the unpaid balance base on the type of loan, regardless, I was deceived, to me they are creating another crime which is discriminating. If it walk like a duck, eat duck food, quack like a duck, it's a duck.

Bridget
I have since moved to Canada since graduating 6 years ago when I lived in Tampa. How do I make sure that I am on this list.

The FTC will use DeVry's records to identify people who are eligible for refunds.  You can watch for updated information about FTC’s DeVry redress program on FTC.gov/DeVry, and sign up for email updates.

Does this Devry forgiveness program apply to students that attended Chamberlain College of Nursing? I ask because one of my private loans is through Devry, about $17k. As well as Federal loans and paying about $20k out of my pocket. When are they suppose to notify us?

Does this settlement apply to students who went to DeVry between the time frame listed but are not devry graduates ? I went to devry but realized after the first semester that this institution was full of it so i never went back. Now i owe over 3,000 and they are holding on to my transcript.

The settlement applies to students who attended during the relevant time frame and are otherwise eligible. Read about DeVry refunds and debt forgiveness for DeVry students.

I have not been contacted either yet, I went to complete this program in order to land a better job and job opportunities but I got nothing but student loans. None of my classes got accredited even after proofing I have them. And they are still not done trying to screw me over. I expected more. have to switch schools now and transfer to a different program. How is this fair for students who attend who gets reimbursed...? only friends of the organizers of the lawsuit? I am a single mom of 2 who just tried to do better for the family and got screwed over :( where is this right????

Hi, I graduated from Devry in 2008 and have close to 130k in private student loan debt. Do I qualify ?

Hello, why are Keller Graduate students not included in this settlement and what do we need to do to be included? I too have an MBA from DeVry Keller Graduate School and continue to be denied jobs related to my program. I too chose DeVry based on it was communicated to me that their Graduates earn jobs immediately upon graduation & that employers actually seek Graduates from their program.

Only DeVry loans can be forgiven. Not Unsub. That's feseral

so what about loans from Sallie Mae?

I believe private loans serviced by Navient (formerly Sallie Mae) are part of this, but I'm not 100% sure. As a holder of $22k in private loans via Navient, I am really hoping it's part of this...

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