At some for-profit colleges, students are "loaded down with enormous debt," said Mr. Obama, speaking at a Binghamton University town-hall event. "They can't find a job. They default. The taxpayer ends up holding the bag. Their credit is ruined, and the for-profit institution is making out like a bandit. That's a problem."
Mr. Obama, who has tended to leave direct public criticism of for-profit-college abuses to others in his administration, also cited his concern over the treatment of military veterans and service members. "They've been preyed upon very badly by some of these for-profit institutions," he said, adding that a special task force now exists "to look out for members of the armed forces who were being manipulated."