Attorney Scott Schutzman: ITT Tech fallout, what can students do?

ITT Technical Institute has closed more than 130 campuses across the country after the school was accused of fraud and deceptive marketing.

The government accuses the school of scamming students while failing to give them adequate job training.

The school was forced to shut down its campuses after the Department of Education issued sanctions, including a ban on enrolling new students who receive federal aid.

The closure will have a huge impact on thousands of students as the new school year begins.

In a statement, ITT said "We reached this decision only after having exhausted the exploration of alternatives, including transfer of the schools to a nonprofit or public institution."

This of course, is not the first big for-profit school system to close. Corinthian Colleges closure last year left 16-thousand students and employees in the lurch.

So where does that leave the students?

We had attorney Scott Schutzman who is familiar with cases like this. He filed a class-action lawsuit against a trade-school, Newbridge College, which is now closed. 

According to Shulman, students have two options:

  • Try to transfer their credits to another school to try to finish their education.
  • Apply for a loan discharge, which would in effect wipe out their federal student debt.

The Education Department has set up a website: studentaid.gov/itt 

There is also a phone number 1-800-433-3243 for  ITT students to get more information.

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