The US Consumer Financial Protection Bureau (CFPB) has slapped coding boot camp BloomTech with several punishments for alleged deceptive business practices.
This is the best summary I could come up with:
The US Consumer Financial Protection Bureau (CFPB) has slapped coding boot camp BloomTech with several punishments for alleged deceptive business practices.
The business, which claims on its site it will help students land their “dream job” in tech at companies like Amazon, Cisco, and Google, accepted the consent order without admitting or denying any wrongdoing.
BloomTech, formerly Lambda School, has operated since 2017 and offers six- to nine-month vocational programs in science and engineering, with a focus on computer technology.
“BloomTech and its CEO sought to drive students toward income share loans that were marketed as risk-free, but in fact carried significant finance charges and many of the same risks as other credit products,” said Rohit Chopra, director of the CFPB.
On top of that, the CFPB claimed BloomTech broke the Holder Rule by neglecting to afford students certain rights when it sold loans to investors, which is illegal according to the consumer protection watchdog.
“We decided to settle the matter because it was clear that ongoing litigation would be extremely time consuming, incredibly expensive, and distract us from our core mission,” the CEO said.
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jeffw@lemmy.world 4 weeks ago
The US government under Obama and Biden has taken a lot less crap from these for profit schools. Although this is separate from Dept of Ed stuff
FartsWithAnAccent@fedia.io 4 weeks ago
Meanwhile, the government under Trump had one of these assholes literally in charge of the department of education because corruption is totally OK if you have an R by your name.
jeffw@lemmy.world 4 weeks ago
I thought she mainly worked in religious schools? Probably still non-profits