Student Loans

The Thin Red Line

"Redlining" is a term coined by community activists in 1960s Chicago. It refers to mortgage brokers excluding predominantly black inner-city neighborhoods from getting loans for housing, and by extension, to any discrimination achieved by drawing arbitrary lines.

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Roundup: Week of June 4 - June 8

At Senate Hearing, Cuomo Criticizes Federal Regulators, Starts Investigation of Student Loan "Redlining"

The U.S. Senate Banking Committee held a hearing on private student loans on Wednesday that focused on what role the federal government can…

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The House Always Wins

I'm writing this post from beautiful, sunny Las Vegas, Nevada, where I just gave a talk and saved hundreds of dollars by not gambling. It strikes me that the casino business and the student loan business have something in common: the house can't lose.

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Building Fences

There are not too many things that make state policy makers wring their hands more than seeing their college graduates migrate to other states. Across the nation, officials in states such as California, Indiana, Iowa, Maine, New York, and Wisconsin have been especially pained…

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A Questionable Arrangement

An internal strategy document from Sallie Mae says a whole lot about how the company makes its money from taxpayers, from students, and then again from taxpayers. On Tuesday, Higher Ed Watch described the subsidies on federal loans that remain Sallie Mae's priority #1 to keep, while

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Oversubsidized

For years, student loan-industry officials have complained about the way in which the government assesses the costs of the two competing federal student loan programs.

Federal budget analysts have consistently found that direct lending, in which the U.S.…

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What About My Loan?

Financial aid offices, Congress, and the Department of Education continue to spout catchy phrases about safeguarding the interests of students (well, at least from here on out). But if you were (or are) a student, wouldn't you wonder if the loan scandals have had a personal impact on you?

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Grilling Education Secretary Margaret Spellings

As Secretary of Education Margaret Spellings steps up to the plate today at a House Education and Labor Committee hearing, Higher Ed Watch has a curveball to throw her way. We would love to hear the Secretary's response to the following question:

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Hardball

For the first time in the post-Newt Gingrich, Tom Delay era of Washington politics, Democrats in Congress have to decide if they want to use their new majority status to play hardball. At stake is roughly $10 billion to $15 billion in student financial aid -- enough to send over 2 million kids to…

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Texas Longhorn Students Uncover Extent of Student Loan Corruption

A bombshell was dropped on the University of Texas' financial aid office Monday when The Daily Texan student newspaper published a damning story on the office's corrupted process of selecting preferred lenders. After obtaining documents from an open records request, the newspaper discovered that one of the criteria used by…

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