Students with unpaid, defaulted loans denied official transcripts
If Central Michigan University graduates default on their student loans or have other unpaid debts to the university, CMU will withhold their transcripts.
The undergraduate bulletin states: “Transcripts of students with a past due financial obligation to the university are not released until the obligation is paid.”
CMU Registrar Karen Hutslar said if a student’s transcript is being withheld, the student will still be able to look up their grade report online, and their diploma will not be withheld.
“If the student does owe money, we’re not going to release their information, but some exceptions can be made,” she said.
Cindy Rubingh, the director of Student Account Services and University Billing, said exceptions can be made for students who need their transcripts for employment purposes only.
“Each individual situation is evaluated,” she said. “The transcript is sent directly to a prospective employer.”
Students are notified in writing if their transcript has been denied and the denial form explains in detail what the outstanding financial obligation is for.
“The only time we can hold a transcript is for financial reasons,” Hutslar said.
Rubingh said this policy has always been in effect at CMU.
“That’s standard practice at every university that I’m aware of,” Hutslar said.
The Family Education Rights and Privacy Act gives students that attend accredited colleges and universities the right to view all areas of their educational records. However, FERPA does not require colleges and universities to provide students with official copies of their transcripts.
The policy of withholding transcripts is legal under FERPA because students still have access to their unofficial transcripts. But, in order to pursue a higher degree, apply for a job or transfer to another school, students need their official transcripts bearing the registrar’s seal.
Some colleges and universities also limit the number of copies of unofficial transcripts students can get, and include in the unofficial transcript the reason why the official copy is being withheld. These practices are also legal under FERPA.
The federal Freedom of Information Act does not address academic records, but several state versions of the law do not cover academic records, so students in debt would not be able to request their records this way.
FOIA does not apply to private colleges, but students could challenge public colleges on constitutional grounds if their transcripts are being withheld.
The federal bankruptcy code does not allow colleges and universities to withhold transcripts if students file bankruptcy petitions, or if their educational debts are discharged in court.
