No nationally accredited college or university will give degrees or college credit for life experience. College level work is always required. The only exception is when a student completes an internship, but the student must also have taken college level courses toward a degree. Any school that promises credit or degrees for work experience, especially work that has nothing to do with the degree, should be avoided.
Colleges and universities are looked at by accrediting agencies. The agencies decide if the school is legitimate and if it provides students with a proper education. The U.S. Department of Education put together a list of accepted accrediting agencies. Any college with accreditation from one of these agencies is legitimate. The problem is that many "fake" colleges claim to be accredited and use fake agency names to trick potential students. Many colleges that offer life experience degrees are not nationally accredited.
Diploma mills, or degree mills, are fake colleges with fake accreditation. They offer degrees or credits for life experience or for very little work. Some might require students to take courses, but they are not college-level. These degrees are essentially worthless and will not help anyone get a job. Diploma mills are generally looking for money and will even offer higher degrees if the student pays a little bit more, without extra work.
Diploma mills will often offer degrees or credits for work or life experience. They promise that a degree can be obtained in less time than traditional college. If the school claims accreditation from an agency not on the list from the U.S. Department of Education, they are most likely a diploma mill. Diploma mills will offer discounted prices for a limited time or for enrolling in multiple degree programs. Many diploma mills have names similar to well-known colleges or universities to try and confuse prospective students.