After remaining relatively stable for several years, the student loan default rate is now on the rise. The Wall Street Journal reports today that the downturn in the economy, especially the credit crunch, is forcing more student loan borrowers into default and the numbers could rise even further:
The fear is that default rates on student loans will [...]
Archive for the ‘Policy’ Category
Student Loan Defaults on the Rise – Let’s go to Vegas!
Posted in News, Policy, tagged bail out, bankruptcy, consolidation, credit crunch, default, deferment, forebearance, interest, moratorium, refinancing, Sallie Mae, student loans, Vegas, wall street journal on December 1, 2008 | 1 Comment »
Bankruptcies on the Rise…But Student Loans Still Not in the Mix
Posted in News, Policy, tagged bankruptcy, credit crunch, economic crisis, New York Times, News, student loans on November 16, 2008 | 1 Comment »
The New York Times reports that bankruptcies rose nearly 8% between September and October, due to the ongoing economic crisis, particularly dropping home values and the credit crunch. Over 100,000 filings were made in October, the first time the number has gotten that high since the new, harsher bankruptcy law was passed in 2005. Additionally, [...]
New Secretary of Education Should Have Expertise in Higher Ed.
Posted in News, Policy, tagged achievement gap, african-americans, Freeman Hrabowski, higher education, News, Obama, Policy, Secretary of Education, student loans, University of Maryland on November 13, 2008 | Leave a Comment »
As I’ve mentioned elsewhere, Presidents tend to pick experts in primary and/or secondary ed. for their Secretary of Education. However, the ever-rising cost of tuition combined with the current economic downturn is rapidly escalating into a crisis in college accessibility and affordability. Furthermore, as Steven Teles of the Reality-Based Community blog points out:
…[M]uch of what the Department of Education actually [...]
Paulson Calls for Student Loan Companies to be Included in the Bailout
Posted in News, Policy, tagged bailout, consumer lendign agencies, Paulson, speech, student loans, Treasury Secretary, Washington Post on November 12, 2008 | 2 Comments »
Treasury Secretary Paulson today announced that he wants to use part of the remaining portion of the bailout fund to focus on consumer lending agencies, including student loan companies. From the Washington Post:
In a speech this morning, Paulson laid out his priorities for some $350 billion of the bailout fund that remains uncommitted. Much of the first [...]
Fixing the Student Loan Problem: Of Tuition Increases and Administrators’ Salaries
Posted in Policy, The Problem, tagged catch-22, college administrators, gather.com, interest rates, Obama, private lenders, Secretary of Education, stafford loans, student loans, tax credits, tuition increases, University of Wisconsin on November 10, 2008 | 2 Comments »
An author on Gather.com has posted one of the best articles I’ve seen outlining the student loan problem and possible solutions. On the college education Catch-22:
That’s the dilemma that faces most kids who are graduating from high school these days. Like the parents that work to avoid [pay for]* daycare, or the kid who works [...]
UK to Prevent Universities from Raising Fees
Posted in International, News, Policy, tagged Bristol University, comparative education, London Times, publicly-funded colleges, student loans, UK on November 8, 2008 | Leave a Comment »
In an effort to see what the United States’s higher education system can learn from other countries, I plan to start covering more international higher education news. On that note, an article in today’s London Times reports that in order to ensure that students don’t have to take out more student loans during the economic crisis, [...]
Bailout for the Student Loan Industry (But Not Borrowers)
Posted in News, Policy, tagged bail out, citibank, jp morgan chase, New York Times, Policy, Sallie Mae, student loan industry, student loans on November 8, 2008 | 4 Comments »
The Department of Education is going to buy up more student loans from private lenders in an effort to bolster the private student loan market, the New York Times reports. The move comes as investors shy away from the student loan market in the wake of the economic crisis, and large lenders like Sallie Mae [...]
Federal Deficit May Curb Student Loan Reform
Posted in News, Policy, tagged default, deficit, home equity, Obama, press conference, stimulus package, student loans, unemployment on November 7, 2008 | Leave a Comment »
Even as Obama gave his first press conference as President-Elect today calling on Congress to pass an economic stimulus package in the next few months, the National Association of Student Financial Aid Administrators reports that the huge budget deficit might prevent him from doing too much about the sky-rocketing costs of higher education.
Tuition-Free Colleges – What’s Available?
Posted in News, Policy, tagged Berea, College of the Ozarks, college without debt, Cooper Union, Miami University, Michigan State University, Rice University, tuition-free colleges, University of North Carolina - Chapel Hill, University of Pennsylvania, University of Virginia, West Point, work study on November 7, 2008 | 1 Comment »
An article from Associated Content today notes that due to the flailing economy, more students are looking into the possibility of going to tuition free colleges. Some colleges are tuition free for everybody, but most offer programs where tuition is free only for those students whose parents make under a certain amount of money.
However, it’s [...]
Rahm Emanuel and Student Loans
Posted in News, Policy, tagged Bankruptcy Abuse Prevention and Consumer Protection Act, chief of staff, College Student Relief Act, Obama, Rahm Emanuel, student loans, voting record on November 6, 2008 | Leave a Comment »
Since Obama has named Rahm Emanuel his new Chief of Staff, I decided to see if could find out anything about Emanuel’s positions on policies affecting student loans. Information is sparse, but so far:
Voted No on the Bankruptcy Abuse Prevention and Consumer Protection Act, which, as most of you are familiar with, was the law that made it virtually impossible [...]
