student loans

The privately held Drake College of Business, which trains people to be medical and dental assistants, relied on taxpayers for 87 percent of its revenue in 2007. Almost 5 percent of the student body at its Newark, New Jersey, branch is homeless, says Jean Aoun, director of admissions and student services there. Late in 2008, it began offering a $350 biweekly stipend to students who show up for 80 percent of classes and maintain a “C” average.

“It’s basically known in the community: If you’re homeless, and you need some money, go to Drake,” says Carmella Hutson, a case manager at the Goodwill Rescue Mission in Newark, where about 20 clients have enrolled at Drake in the past two years. “It would put money in my pocket, help me buy a car,” adds Jerome Nickens, 45, who lived at the mission when he talked to a Drake representative but decided not to enroll.

Homeless High School Dropouts Lured by For-Profit Colleges