What Happened to ITT Tech?

ITT Tech was one of the largest for-profit college chains in the US. But in 2016, it abruptly closed all of its campuses, leaving tens of thousands of students in the lurch. Here’s the story of what happened.

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Introduction

ITT Technical Institute (ITT Tech) was one of the largest for-profit technical colleges in the united states Founded in 1946, ITT Tech offered Associate’s and Bachelor’s degrees at over 130 campuses across the country. However, in 2016, ITT Tech ceased operations following investigations by the U.S. Department of Education and state attorneys general.

In the years leading up to its closure, ITT Tech was plagued by financial problems and allegations of fraud. The company was accused of using deceptive recruitment practices, falsifying job placement data, and providing subpar education that left students unprepared for careers in their field. As a result of these problems, ITT Tech lost its accreditation, was placed on probation by its accreditor, and was banned from enrolling new students who received federal financial aid.

Despite these issues, ITT Tech remained operational until 2016, when it announced that it would be ceasing operations. This decision came after the Department of Education announced that it would be withholding funding from the school, effectively cutting off its access to federal financial aid. Without this funding, ITT Tech was unable to continue operating and was forced to close all of its campuses across the country.

As a result of ITT Tech’s closure, tens of thousands of students were left without an education and thousands of employees were left without jobs. The closure also had a ripple effect on the economy, as businesses that relied on ITT Tech’s students or employees were also impacted. In total, the closure of ITT Tech is estimated to have cost taxpayers over $500 million.

What is ITT Tech?

ITT Technical Institute was a for-profit technical institute. Founded in 1946, ITT Tech had over 130 locations in 38 states of the US.

The company offered over 50 different programs leading to Associate’s and Bachelor’s degrees in various fields of Information Technology, drafting and design, electronics, business, and criminal justice.

In 2016, the US Department of Education banned ITT Tech from enrolling any new students who receive federal financial aid. This effectively ended the company’s operations, as over 80% of ITT Tech’s revenue came from federal student aid. The company then filed for bankruptcy and stopped all operations in September of 2016.

The History of ITT Tech

ITT Tech was founded in 1946, and grew rapidly in the 1970s and 1980s. The company was known for its technical schools which offered training in electronics and other technical fields.

In the 1990s, ITT Tech began to expand beyond its traditional focus on technical education. The company acquired several businesses, including a hotel chain and a mortgage company. ITT Tech also began to offer online courses.

In 2006, ITT Tech was acquired by Northrop Grumman, a large defense contractor. Northrop Grumman sold ITT Tech to private equity firm KKR in 2011.

In 2016, the US Department of Education banned ITT Tech from enrolling new students who received federal financial aid. The department also placed strict limits on the use of federal financial aid by ITT Tech students.

In September 2016, ITT Tech announced that it was closing all of its campuses due to the Department of Education’s actions. Approximately 40,000 students were affected by the closure.

The Downfall of ITT Tech

ITT Tech was one of the largest for-profit colleges in the United States. But in 2016, the school abruptly closed all of its campuses, leaving 40,000 students scrambling to find new schools.

The school’s collapse was the result of years of mismanagement and fraud. ITT Tech was accused of using high-pressure sales tactics to enroll students, lying to them about their job prospects after graduation, and steering them into predatory loans that they could not afford.

The school’s closure left many students saddled with debt and without a degree. It also left hundreds of employees out of work.

What Happened to ITT Tech’s Students?

ITT Tech’s closure has left many students wondering what will happen to their credits and transcripts. The school has set up a website, ITTforCredit.com, to help students transfer their credits to other schools. However, it’s important to note that not all schools will accept credits from ITT Tech. Students should research their options carefully before making a decision.

As for transcripts, the Department of Education has said that it will work with ITT Tech to ensure that students can get access to them. However, it’s unclear how long this process will take or what form the transcripts will take. In the meantime, students can request copies of their transcript by contacting ITT Tech’s customer service department.

Conclusion

After more than 50 years in business, ITT Tech closed its doors for good in September 2016. The for-profit college had been facing increasing scrutiny from the US government, and was ultimately unable to keep up with the financial requirements imposed by the Department of Education. As a result, ITT Tech’s tens of thousands of students were left without a way to complete their education. Many of them were left with significant debt and no degree to show for it.