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Thursday, June 19, 2025

EducationDynamics: Still Shilling for Subprime Robocolleges

In 2021, The Higher Education Inquirer published an investigative report exposing the operations of EducationDynamics (“EDDY”), a for-profit lead generation and marketing firm with deep ties to some of the most controversial colleges in American higher education. Four years later, that story has not only held up—it demands a deeper and more urgent follow-up.

EDDY now claims that over the past five years, its clients have experienced an average of 47% enrollment growth above industry benchmarks, attributing this success to its “research-driven, continuous optimization process.” But behind that growth lies a troubling blend of aggressive marketing, deceptive lead generation, and exploitative labor practices—practices that appear to have only intensified.

A History of Bait and Switch

EDDY’s core operations remain rooted in multichannel marketing and lead generation for colleges—especially for-profit and formerly for-profit online institutions. These include Purdue University Global (formerly Kaplan University), University of Arizona Global (formerly Ashford University), American Intercontinental University, Colorado Technical Institute, and South University—all institutions with checkered histories of student outcomes, loan defaults, and regulatory scrutiny.

As previously reported by The Higher Education Inquirer, EDDY—originally known as Halyard Education—has been under ethical clouds for more than a decade. The company funneled leads to shuttered schools like Corinthian Colleges, ITT Technical Institute, and Virginia College, all of which collapsed under regulatory and legal pressure for defrauding students.

EDDY has expanded by acquiring other dubious operations. In 2019 and 2020, it bought up assets from Thruline and QuinStreet, the latter of which had been prosecuted by 20 state attorneys general in 2012 for deceiving military veterans through a phony education site, GIBill.com.

At least one source has linked EDDY to Alec Defrawi, a lead generator sued by the Federal Trade Commission in 2016 for job-application bait-and-switch tactics. Defrawi collected data from people seeking jobs, then sold it to education marketers who aggressively pitched them school enrollment instead. While the FTC complaint didn’t name EDDY directly, a public comment on the FTC’s site suggests a relationship between Defrawi and Halyard/EducationDynamics.

The 2025 Workforce Machine: Exploiting the Exploited

New accounts from Glassdoor and Indeed, along with internal conversations with former employees, show that EDDY's call centers in Boca Raton, Florida and Lenexa, Kansas continue to engage in bait-and-switch tactics. People looking for jobs are redirected to enrollment pitches for schools—many of which offer low graduation rates, high debt burdens, and little return on investment.

The call centers are described as toxic, high-pressure environments, where workers are paid $10 an hour, offered no real commission, and are charged up to $225 per day from their commission pool just to keep their jobs. According to workers, “good leads” are reserved for long-timers and favorites, while new and lower-ranked workers are left dialing disconnected numbers or harassing desperate job seekers.

“They want you to do a lot for $10 an hour,” said one former employee. “They’ll micromanage everything, and if you speak up about the shady stuff, you get punished or iced out.”

Former employees describe being instructed to use aliases and different company names to avoid regulatory detection and consumer suspicion. Others say they were explicitly told not to submit job applications that consumers had filled out, so they could be redirected toward school enrollments instead.

The Kansas location appears to mirror many of the Florida call center's tactics. One sales associate in Lenexa noted they were “getting shady and uninterested leads” and claimed that management was fully aware of the source and quality of these leads.

A Rigged System, Disguised as Opportunity

EDDY hides behind slick language and upbeat metrics, claiming to help students “adapt to the changing needs of today.” But the company’s model thrives on a population of vulnerable, low-income Americans—people simply looking for a job—who are rerouted into student loan debt for education they didn’t want or need.

Meanwhile, the people doing this marketing—call center employees—are also trapped. Lured in with promises of stability and advancement, they find a micromanaged workplace with no real raises, little upward mobility, and workplace retaliation for dissent.

The Better Business Bureau (BBB) gives EducationDynamics an A+ rating, which seems absurd given the overwhelming volume of worker testimonies and student complaints. It’s a glaring example of how the education marketing sector continues to operate with minimal oversight, even as its practices echo the discredited tactics of predatory for-profit colleges from the 2000s and 2010s.

The Bigger Picture

The collapse of Corinthian Colleges and ITT Tech was supposed to signal the end of an era. But EducationDynamics proves that the infrastructure of exploitation never disappeared—it simply rebranded, consolidated, and evolved. Today, it masquerades as a data-driven enrollment consultancy helping colleges grow, while quietly fueling the same pipeline of debt and despair for working-class Americans seeking stability.

Colleges desperate for enrollments, workers desperate for jobs, and the education marketing complex that profits from both—that is the dangerous triangle in which EDDY operates.

Final Thoughts

EDDY’s reported 47% enrollment growth comes with a heavy cost: false hopes, student debt, and labor exploitation. As the higher ed crisis deepens and more colleges seek lifelines, it’s imperative that watchdogs, regulators, and journalists remain vigilant about who’s behind the scenes pulling the strings.

EducationDynamics is not just a marketing firm. It is a relic of the for-profit college era—one that never really ended.


If you've worked for EducationDynamics or were misled by their marketing, the Higher Education Inquirer wants to hear from you. Contact us confidentially at gmcghee@aya.yale.edu.

Monday, December 30, 2024

2025 Will Be Wild!

2025 promises to be a disruptive year in higher education and society, not just in DC but across the US. While some now can see two demographic downturns, worsening climate conditions, and a Department of Education in transition, there are other less predictable and lesser-known trends and developments that we hope to cover at the Higher Education Inquirer. 

The Trump Economy

Folks are expecting a booming economy in 2025. Crypto and AI mania, along with tax cuts and deregulation, mean that corporate profits should be enormous. The Roaring 2020s will be historic for the US, just as the 1920s were, with little time and thought spent on long-range issues such as climate change and environmental destruction, economic inequality, or the potential for an economic crash.  

A Pyramid, Two Cliffs, a Wall and a Door  

HEI has been reporting about enrollment declines since 2016.  Smaller numbers of younger people and large numbers of elderly Baby Boomers and their health and disability concerns spell trouble ahead for states who may not consider higher education a priority. We'll have to see how Republican promises for mass deportations turn out, but just the threats to do so could be chaotic. There will also be controversies over the Trump/Musk plan to increase the number of H1B visas.  

The Shakeup at ED

With Linda McMahon at the helm of the Department of Education, we should expect more deregulation, more cuts, and less student loan debt relief. Mike Rounds has introduced a Senate Bill to close ED, but the Bill does not appear likely to pass. Diversity, Equity, and Inclusion (DEI) efforts may take a hit. However, online K12 education, robocolleges, and surviving online program managers could thrive in the short run.   

Student Loan Debt 

Student loan debt is expected to rise again in 2025. After a brief respite from 2020 to late 2024, and some receiving debt forgiveness, untold millions of borrowers will be expected to make payments that they may not be able to afford. How this problem affects an otherwise booming economy has not been receiving much media attention. 

Policies Against Diversity, Equity, and Inclusion

This semester at highly selective institutions, Black first-year student enrollment dropped by 16.9 percent. At MIT, the percentage of Black students decreased from 15 percent to 5 percent. At Harvard Law School, the number of Black law students has been cut by more than half.  Florida, Texas, Alabama, Iowa and Utah have banned diversity, equity and inclusion (DEI) offices at public universities. Idaho, Indiana and Kansas have prohibited colleges from requiring diversity statements in hiring and admissions. The resistance so far has been limited.

Failing Schools and Strategic Partnerships 

People should expect more colleges to fail in the coming months and years, with the possibility that the number of closures could accelerate. Small religious schools are particularly vulnerable. Colleges may further privatize their operations to save money and make money in an increasingly competitive market.

Campus Protests and Mass Surveillance

Protests may be limited out of fear of persecution, even if there are a number of legitimate issues to protest, to include human induced climate change, genocide in Palestine, mass deportations, and the resurgence of white supremacy. Things could change if conditions are so extreme that a critical mass is willing to sacrifice. Other issues, such as the growing class war, could bubble up. But mass surveillance and stricter campus policies have been emplaced at elite and name brand schools to reduce the odds of conflict and disruption.

The Legitimization of Robocollege Credentials    

Online higher education has become mainstream despite questions of its efficacy. Billions of dollars will be spent on ads for robocolleges. Religious robocolleges like Liberty University and Grand Canyon University should continue to grow and more traditional religious schools continue to shrink. University of Southern Hampshire, Purdue Global and Arizona Global will continue to enroll folks with limited federal oversight.  Adult students at this point are still willing to take on debt, especially if it leads to job promotions where an advanced credential is needed. 


Apollo Global Management is still working to unload the University of Phoenix. The sale of the school to the Idaho Board of Education or some other state organization remains in question.

AI and Cheating 

AI will continue to affect society, promising to add more jobs and threatening to take others.  One less visible way AI affects society is in academic cheating.  As long as there have been grades and competition, students have cheated.  But now it's become an industry. Even the concept of academic dishonesty has changed over the years. One could argue that cheating has been normalized, as Derek Newton of the Cheat Sheet has chronicled. Academic research can also be mass produced with AI.   

Under the Radar

A number of schools, companies, and related organizations have flown under the radar, but that could change. This includes Maximus and other Student Loan Servicers, Guild Education, EducationDynamics, South University, Ambow Education, National American UniversityPerdoceo, Devry University, and Adtalem

Related links:

Survival of the Fittest

The Coming Boom 

The Roaring 2020s and America's Move to the Right

Austerity and Disruption

Dozens of Religious Schools Under Department of Education Heightened Cash Monitoring

Shall we all pretend we didn't see it coming, again?: higher education, climate change, climate refugees, and climate denial by elites

The US Working-Class Depression: "Let's all pretend we couldn't see it coming."

Tracking Higher Ed’s Dismantling of DEI (Erin Gretzinger, Maggie Hicks, Christa Dutton, and Jasper Smith, Chronicle of Higher Education). 

Tuesday, June 18, 2024

Ahead of the Learned Herd: Why the Higher Education Inquirer Grows During the Endless College Meltdown (Dahn Shaulis and Glen McGhee)

The Higher Education Inquirer (HEI) continues to grow without financial support and without paying for advertising or SEO help. The reason is that HEI continues to provide useful information for folks who follow US higher education. We do it in the spirit of Upton Sinclair and others pejoratively known as the muckrakers. And we gladly take the label. 


For years, the higher ed herd dismissed warnings of looming financial crises, but HEI accurately foresaw the revenue declines and unsustainable models forcing college closures, and the downside of the online pivot (including online program managers and robocolleges). We also saw a decade of enrollment declines with no end in sight

HEI has published a number of articles that provide value to higher ed workers (including adjuncts), future, present, and former students (including the tens of millions of student loan debtors), and other folks affiliated with the higher ed industry (including workers at edtech and financial companies). We called it the College Meltdown

 

We have examined a number of groupings in the industry (from community colleges and for-profit schools to elite universities and everything in between) and issues (to include student and worker protests, student loan debt, and violence on campus).  We highlight those who are trying to good, like David Halperin (Republic Report), Gary Stocker (College Viability), Mark Salisbury (TuitionFit), Helena Worthen (Power Despite Precarity), Theresa Sweet and Tarah Gramza (Sweet v Cardona), and Ann Bowers (Debt Collective)

HEI has also had the good fortune of getting outstanding contributions from Randall Collins, Bryan Alexander, Robert Kelchen, Phil HillGary Roth, Bill Harrington, and others. Bryan Alexander's contributions have been extremely important in highlighting the existential threat of global climate change and the civil strife that accompanies it.

While honest reporting is important to us, we do take sides, just as other outlets do (most others take the side of big business and government). We are for the People, and we hunt for corruption that undermines democracy. We have examined companies (like Guild, Maximus, and EducationDynamics) that few others will bother to examine. We continue to follow subprime for-profit colleges that have morphed into subprime state universities (like Purdue Global and University of Arizona Global) and other bad actors in higher ed (like 2U and the University of Phoenix). 

We value history, the real unvarnished history, not the tales, myths and lies that have been repeated to children for generations and used as indoctrination at all levels of society. And we value those who look honestly at the present and the future, those not trying to sell themselves or their hidden agendas. 

As Howard Zinn proclaimed, you can't be neutral on a moving train. And US higher education, we fear, is a train moving away from America's hopes and dreams of diversity, equity, inclusion, and justice, towards a less utopian, more dangerous, place.