|
From Ascribe Newsfeed:
"The recent investigation by the New York Attorney General has revealed yet another deep flaw with our current system of federal financial aid.
"With the revelations that financial aid offices promoted certain student loan issuers in exchange for fees, students are finding out that they might not be getting the best deal-adding insult to injury, considering the growing financial burden young college students face."
"Add to that the evidence of large stock transactions between student loan issuers and some Department of Education and university officials, and this scandal shows how the $85 billion a year student loan industry is starting to mimic the aggressive, profit-at-any-cost behavior of so many other lending institutions."
"For too long, federal financial aid has been dominated by the profit motives of the lenders rather than the needs of the students.
This is yet another sign that our debt-for-diploma, profits-dominated federal aid system needs serious reform, and it is time that we look at alternatives, such as the Direct Student Loan Program and others which would eliminate the subsidy-rich relationship between our government and student lenders."
For more information on young adult economics and the costs of higher education, visit http://www.demos.org/.
Read more from this post.
Posted on April 16, 2007 11:29 PM
|
