Following EPIC's complaint to the Federal Trade Commission about Scholarships.com, the company has improved security on its website. Scholarships.com encourages students to divulge sensitive medical, sexual, and religious information to obtain financial aid information. The company claims that it uses this information to locate scholarships and financial aid. In fact, the company transfers the data to a business affiliate American Student Marketing, which in turn sells the data for general marketing purposes. EPIC's complaint to the FTC alleged that Scholarships.com’s failure to use reasonable security practices is an unfair trade practice. The company has since implemented HTTPS. For more information, see EPIC: Student Privacy.
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by Ryan Calo, A. Michael Froomkin,