What You Need to Know About the University of Phoenix Settlement

By | November 10, 2022
What You Need to Know About the University of Phoenix Settlement

The University of Phoenix has recently reached a settlement with the Federal Trade Commission (FTC) over deceptive advertising practices. Allegedly, the university misled students into thinking that obtaining a graduate degree would guarantee them employment. In this blog post, we will discuss what this settlement means for current and prospective UOPX students.

The FTC’s Complaint Against The University of Phoenix

The FTC alleged in its complaint that The University of Phoenix had been running deceptive ads since at least 2012. Specifically, the FTC complained that the university had been making false or unsubstantiated claims about job placement rates for new graduates. They also claimed that UOPX had misled students into believing that their degrees would lead to lucrative careers and higher wages. Finally, the FTC accused the university of not adequately disclosing how much a degree program would cost or how long it would take to complete it.

In response to these allegations, The University of Phoenix has agreed to pay a $191 million settlement, which will be used to forgive student loan debt for current and former students who enrolled between October 2012 and December 2016. This is in addition to another $50 million in cash payments and other relief measures that were included in an earlier agreement with 49 states and Washington D.C., which was reached back in 2019.

What This Means For Prospective Students

The settlement should serve as a reminder to prospective students that they need to do their due diligence when considering whether or not attending college is right for them. It is important to research the school you are interested in so you can get an accurate picture of what your education experience might look like there before signing up for classes or taking out any loans. And if a school makes promises about career placement after graduation, make sure you read all the fine print carefully so you understand exactly what is being offered and how likely it is for you to be able to take advantage of it.

University of Phoenix Employment Promises

In addition to the settlement, The University of Phoenix has agreed to make changes to its advertising and recruitment practices. Going forward, the university will no longer be able to make unsubstantiated claims about job placement rates or promise that their degrees will lead to higher wages. They have also agreed to provide clearer information about tuition costs and how long it takes students to complete their degree programs.

These changes should help ensure that current and prospective students get a more accurate picture of what attending UOPX might entail before they commit themselves financially. It is important for everyone involved in higher education – administrators, faculty, staff, and most importantly, students – that the process is fair and transparent. This settlement helps set a precedent for other institutions of higher learning to follow in the future.

Overall, it is important for both current and prospective students to be aware of this recent settlement between The University of Phoenix and the FTC. Doing so will help them make more informed decisions about their education and ensure that they do not get taken advantage of by deceptive marketing practices. While the university has agreed to pay a substantial sum as part of this agreement, the best way to protect yourself from similar situations in the future is by doing your research before committing to any college program.

Recent University of Phoenix Settlement Cases

As part of the settlement agreement, The University of Phoenix has also agreed to create a $10 million fund for any students who may have been subject to deceptive marketing practices prior to October 2012. If you believe that you were affected by such practices and would like to file a complaint or seek compensation from UOPX, visit the FTC’s website for more information on how to do so. It is important to note that not all complaints will be eligible for compensation; there are certain criteria that must be met in order for your case to qualify. Additionally, this fund will only be available until December 2021, so if you believe you have a valid claim it is important to act quickly in order to take advantage of this opportunity.


While The University of Phoenix has taken steps toward compensating students who felt misled by its allegedly deceptive advertising practices, this issue should still serve as a wake-up call to prospective college students everywhere. Do your homework before enrolling any college program—especially if money or student loan debt are involved! By asking plenty of questions ahead of time, you can make sure you fully understand what kind of educational experience awaits you—and where your future career could take you after graduation!

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