In a tough job market, certifications have the potential to give some applicants a boost in the hiring process. However, not all certifications are equal. For example, certification programs requiring students to simply pass a test to receive a certificate are not as valuable to potential employers as those that require gaining experience before getting certified. Also, according to recent reports, it matters where the certification program comes from — a public or for-profit institution. American Financial Benefits Center (AFBC), a document preparation company that assists student loan borrowers in applying for and staying enrolled in federal repayment plans, advises caution and research when considering certification programs.

“Individuals trying to get ahead in their career or start a new career by obtaining a certificate should know that not all programs are the same,” said Sara Molina, manager at AFBC. “Especially when students need to rely on loans to complete the program, they should do their homework on what program and, more importantly, what institution will offer them the most valuable certification.”

The report, published by the Brookings Institution, looked at cost of certification programs and employment rates and wages of graduates for comparable public and for-profit programs. They found that programs offered by public institutions are more worthwhile than for-profit offerings; in fact, for-profit programs have the least value, even compared to no certification program at all.

Not only do for-profit certification programs cost more than public programs, but graduates also earn less than comparable public certification recipients and are less likely to be employed. However, perhaps the most shocking finding is that the cost of for-profit certification programs offset any potential earnings boost so much that recipients of those certificates earned less in their lifetime than those who did not get a certificate for similar jobs.

This report supports other recent findings arguing that for-profit institutions are more cost-prohibitive than public institutions, despite amenities meant to appeal to nontraditional students. For example, default rates of for-profit schools are much higher than for public schools.

Those findings show the potential trouble that graduates of for-profit institutions face, but they should know that they have options for dealing with unaffordable student debt. The Department of Education offers income-driven repayment plans (IDRs) that base monthly payments on income and family size. AFBC assists students in applying for and recertifying for those repayment plans.

“AFBC supports its clients no matter where they went to school and what they got out of it,” said Molina. “By helping them apply for and stay enrolled in IDRs, AFBC helps its clients manage a potentially unfavorable student loan situation so they can focus on what matters to them in life.”

About American Financial Benefits Center

American Financial Benefits Center is a document preparation company that helps clients apply for federal student loan repayment plans that fit their personal financial and student loan situation. Through its strict customer service guidelines, the company strives for the highest levels of honesty and integrity.

AFBC is a member of the Association for Student Loan Relief (AFSLR) and each representative on the phone has received the Certified Student Loan Professional certification through the International Association of Professional Debt Arbitrators (IAPDA).

Contact

To learn more about American Financial Benefits Center, please contact:

American Financial Benefits Center
1900 Powell Street #600
​Emeryville, CA 94608
1-800-488-1490
​info@afbcenter.com