Thread regarding Universal Technical Institute Inc. layoffs

Questions about UTI's predatory private loans (name, interest rate, defaults)

(1) What does UTI call its private (institutional) loan program?

(2) What is the interest rate on UTI's private student loans?

(3) What is the default rate on UTI's private loans?

I know UTI can write the loans off, but ED was not happy with Corinthian Colleges or ITT Educational Services having predatory private loan programs.

From the SEC documents I have read, UTI has used proprietary loans since at least 2009, and that they have extended $142M in loans and collected $21M. in 2016, UTI extended $19.3M in loans, collected $7.1M, and wrote off $15.2M.

I am not sure the total amount that they have written off, but I imagine that it must be substantial.

Judging by those SEC numbers, UTI's private loan default rate must be extremely high--and I wonder how these defaults are being handled.

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7 replies (most recent on top)

That's too bad Mr. Camden Kid, this story needs to go public so the school can start teaching instead of ripping off people.

Post ID: @KYldhMV-bhvd

Insider for corporate?

There is no loyalty there. Why would anyone do anything for them?

The big wigs dont really give a damn. They are just riding it out and collecting all the money they can. The lower lever corporate people are biding time until they move on to a better place.

Post ID: @KYldhMV-9pqd

@KYldhMV-5ood and @KYldhMV-8zeh, sadly, I don't think this is big enough for a news story, even though thousands of students have been injured. But I do think the loan program will catch up with UTI, if it hasn't already. I am not with the media but have many media contacts. I am not corporate; I do anti-corruption analysis for justice organizations and have turned down work from corporations.

I think the KID might be an insider for corporate, just a hunch.

Post ID: @KYldhMV-8zeh

Just more lies that U.T.I. is spewing, that place is and has been ripping off theses little turds for years, someone needs to stop it. Camden Kid, are you with the media? maybe you can get the word out there.

Post ID: @KYldhMV-5ood

It's called the Tuition Loan Program. It has an interest of 9.9% I don't know the default rate.

Post ID: @KYldhMV-3qnt

Oh...... The UTI foundation? Helping no loads get an education even when they cant get a loan or dont have any money. Hell, they even give these students money for living expences. Now, you can finance cigarettes and energy drink through UTI. I am sure the interest is huge. Somehow they have to cover their losses. These kids borrow huge money and never even finish school. UTI and the investors take the hit. The "keep them in school at any cost" mentality comes from the fact that these turds are sitting in class or wandering the halls with no recourse on UTI's dime. If little Johnny Buggermachine gets mad and quits they will never see their money. Huge writeoffs because they have no recourse. The students credit is ruined and the debt is then sold to a collection agency for pennys on the dollar. The UTI foundation is a tax dodge non profit money machine designed to prop up their student counts.

Post ID: @KYldhMV-1wnd

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