College admissions scandal; parents using loophole to get kids financial aid for college, report says

Money
This is an archived article and the information in the article may be outdated. Please look at the time stamp on the story to see when it was last updated.

CHICAGO– A new report out on Wednesday morning from the Wall Street Journal  says the Education Department is looking into a tactic being used in which parents are transferring legal guardianship of their college-bound teens to relatives or friends so that the teens can claim financial aid that they would not otherwise qualify for.

When the teen applies for financial aid, only their income will be considered once guardianship is transferred, according to the report.

In the report, the WSJ says there are several universities in Illinois that are looking into the practice, which is legal. Universities say this tactic allows wealthy families to collect grant money meant for lower-income students.

Most Read

Top Stories

More Home Page Top Stories