Online for-profit university to pay $270,000 for allegedly misleading veterans

By Marian Johns | Aug 15, 2018

BOSTON — American Military University has agreed to a $270,000 settlement regarding allegations by the state of Massachusetts that the school violated state law by misleading veterans. 

Massachusetts Attorney General Maura Healey alleges the online for-profit school, whose students are mostly veterans, did not make mandated disclosures to prospective students regarding job placement rates and did not provide important information about loan repayment and graduation rates to prospective students within the required time frame. The state also alleges the university practiced predatory enrollment tactics such as excessive recruitment calls.

“Online for-profit schools that mislead veterans and military families are not welcome in Massachusetts,” Healey said in a statement. “This settlement will provide money back to students who didn’t get crucial information about the American Military University. We will be closely monitoring this school in the future.” 

The Massachusetts' for-profit school regulations pertaining to potential students, which are the first of their kind in the U.S., protect students from schools making unsubstantiated claims that try to lure students into expensive, low-quality programs, Healey's office said.


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