Closure of Medtech Colleges/Institutes and Radians College | Federal Student Aid

Closure of Medtech Colleges/Institutes and Radians College

Important Information About Medtech Colleges/Institutes and Radians College

On this page you will find information related to the denial of recertification notice imposed against the Medtech College, Virginia, location and the announced closures of all campuses operating under the Medtech College/Institute and Radians brands. Featured below is information on how former Medtech and Radians students can continue their education, apply for closed school loan discharges, retrieve student records, and more.

Denial of Recertification to Medtech College, Virginia (Medtech)
Closure of Medtech and Radians Colleges
 


Denial of Recertification to Medtech College, Virginia (Medtech)

After a thorough review of the institution’s application for recertification and an assessment of its job placement rate reporting and information, the U.S. Department of Education (ED) issued a letter on July 26, 2016, to one Medtech institution—comprised of a main location in Falls Church, Virginia, and additional locations in Silver Spring, Maryland, and Washington, D.C.—notifying them that ED has denied recertification of their eligibility to participate in the federal student aid programs. ED took this step after finding that Medtech significantly overstated job placement rates reported to its institutional accreditor, to the public, and to ED. In addition, Medtech made numerous misrepresentations as to the job placement of individual students; and it contracted with a third-party placement rate verifier without providing for required safeguards in the contract and failed to report that arrangement in direct contravention of ED’s regulations.

The letter notified Medtech that, upon its effective date of July 31, 2016, Medtech’s participation in the federal student aid programs would end. The letter permits Medtech until Aug. 5, 2016, to provide ED with factual evidence to dispute ED’s findings. If that evidence causes ED to change its determination, Medtech's application to be recertified may be approved to allow the institution to regain its ability to receive program funds.

In addition, JTC Education Holdings, Inc. and Subsidiary, the parent company of Medtech and other affiliate brands, has been directed to remit a larger letter of credit as a condition to continue its participation in the federal student aid programs. The increased letter of credit request is due in part to the heightened risk to students and taxpayers resulting from the action noted above and could be used to reimburse taxpayers for liabilities due to ED as a result of this investigation or any future ones, and if campuses precipitously close as a result.

ED will post additional information for students to this site as the situation develops. Please check back for updates.

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Closure of Medtech and Radians Colleges

On Aug. 10, 2016, officials representing the parent company of Medtech Colleges alerted ED and their requisite postsecondary education oversight bodies that they ceased operations and instruction at three campuses in Virginia, Maryland, and Washington, D.C. These locations previously lost their eligibility to receive federal student aid funds from ED on July 31, 2016, due to their denial of recertification.

On Aug. 23, 2016, Medtech ceased operations at their Lexington, Kentucky, campus and corporate officials announced that instruction would cease on the Indianapolis, Fort Wayne and Greenwood, Indiana, Medtech campuses on Sept. 16, 2016, and at Radians College on Sept. 23, 2016.

If you were attending a Medtech or Radians College campus that closed or planned to cease instruction on Aug. 10, Aug. 23, Sept. 16, or Sept. 23, 2016, or if you withdrew from one of these schools within a period of 120 days prior to these dates (as appropriate based on your campus), you have two primary options:

  1. Apply for a closed school loan discharge upon your campus closure.

    or

  2.   Transfer earned credits to another institution to continue your education in a comparable program.
     

Closed School Loan Discharge

If you attended a Medtech or Radians school that closed while you were attending or soon after you withdrew, and you did not complete your program of study, you may be eligible for a closed school discharge. A closed school discharge is a 100 percent discharge of the federal Direct Loans, Federal Family Education Loan (FFEL) Program loans, or Federal Perkins Loans you took out to attend the closed school and a reimbursement of amounts you have already paid to the government.

To apply for loan forgiveness through a closed school discharge, you can do either of the following upon your campus closure:

  • complete and return the Closed School Loan Discharge Application sent to you by your servicer or complete this Closed School Loan Discharge Application and return it to your loan servicer, or
  • contact your loan servicer about the application process for getting your loan discharged.

Note: Your Closed School Loan Discharge Application must be sent to your loan servicer. To find out who your loan servicer is, log in to My Federal Student Aid or call 1-800-4-FED-AID (1-800-433-3243; TTY for the hearing impaired 1-800-730-8913).

You can no longer use your Federal Student Aid PIN. If you haven’t already, you’ll need to create an FSA ID—a username and password—to log in.

Read our overview of the closed school loan discharge process for more information about the process and eligibility.

We encourage you to avoid paying companies for student loan consolidation or forgiveness services that your federal loan servicer provides on behalf of ED for free. Read our recent post on your rights and options as a borrower.

Credit Transfers

Instead of applying for a closed school discharge, you may wish to keep the credits you’ve earned from Medtech or Radians and transfer those credits to another school with a comparable program. If you do transfer into a comparable program offered by another school, that school will evaluate your Medtech or Radians course work and will decide whether to give you credit for the work already completed, as well as what courses you need to take to complete your program of study.

ED is working with Medtech and Radians officials, as well as representatives from the Virginia, Maryland, Washington, D.C., Kentucky, and Indiana licensing and postsecondary education oversight bodies, to process student records from the eight affected schools as soon as possible so that transfer schools can start assessing students’ remaining eligibility for federal student aid funds.

For information on how to access and obtain your student records and transcripts and to find out more about licensed institutions with similar programs in your area, contact your state agency and view ED’s fact sheets about the closure of the Virginia, Maryland and Washington, D.C., Lexington, Kentucky, and Indiana Medtech campuses, and Radians College

Note: Neither ED nor your requisite state agency have confirmed that referred institutions will accept Medtech or Radians credits as part of any transfer. Students interested in any of the programs listed should contact the institution to determine whether they can transfer their credits.

Again, if you transfer the credits you’ve earned at your Medtech or Radians school toward a comparable program at another school and you complete or are in the process of completing that program, you will not be eligible to receive a closed school loan discharge.

If you have further questions, visit our Q&A page to see answers to questions other Medtech and Radians students have asked. 

You can also view our prerecorded webinar to learn more about the options described on this page. A transcript of this webinar is available for the hearing impaired.

You may also contact ED's School Eligibility Service Group, Multi-Regional and Foreign Schools Participation Division at (202) 377-3168, or email your inquiry to FSAProgramCompliance4Students@ed.gov.

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