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I think in some cases you can apply work experience towards a degree. A friend of mine who is a cop is going back to school and he was told some of his work experience and training will translate as credits towards his degree. Some schools will let you challenge courses and if you successfully challenge them you don't have to take that course and get credit for it.
On a side note, it is amazing how many companies don't even bother checking on degrees. Several years ago I wrote a piece about this for a magazine. I greatly enhanced my resume and put down that I had two different bachelor degrees. I applied for jobs, went in for interviews and actually was offered a few different jobs. After the job offers I went in and talked to the managers in charge of hiring and found out that out of six companies that offered me a job none of them contacted the school to check my credentials. I did other call backs and found that out of 10 additional companies that gave me serious consideration for the job only two of them checked. It was pretty crazy.
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