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Globe University and MN School of Business are closing all campuses

The schools lost their federal funding earlier this month.

Globe University and Minnesota School of Business campuses will all be closed by the end of January.

The decision to close the for-profit schools comes after they lost their federal student aid funding - which happened because the schools didn't meet the U.S. Department of Education's requirements or standards. Globe is appealing that decision.

In September, Globe University and the Minnesota School of Business were found guilty of misleading students in the criminal justice program. Minnesota Attorney General Lori Swanson filed a lawsuit against the schools in 2014, accusing them of misrepresenting the jobs students could get with their degree. That left students in mounds of debt to pay off.

What happens to the students

The schools outlined what will happen next for students, noting Globe University locations in South Dakota and Wisconsin will close Dec. 31, while the Minnesota School of Business campuses will remain open "through at least the end of January."

The schools will begin teach-out programs so students can finish their degrees elsewhere. Students have the option to transfer credits and finish their degree at several other schools. For that list, click here. Some online classes will still be available, however.

"While we continue to fight the injustices we feel have been done to our colleges and our sector, it is in the best interest of our students’ success that we have made the very difficult decision," a statement from the Globe/MSB says.

They added: "While the attorney general may celebrate the closure of the schools, many others will not. This holiday season will not be so happy for the thousands of students forced to complete their programs elsewhere, the hundreds of employees losing their jobs, or the communities that depend on a skilled workforce."

Globe University currently has 1,000 students at 10 locations in Minnesota, Wisconsin and South Dakota, while the Minnesota School of Business has about 700 students at nine Minnesota campuses, the U.S. Department of Education said.

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