Student Loans
College costs are growing rapidly and financial aid hasn’t kept up. Close to 70 percent of undergrads graduate with debt. In 2009, the average student borrower owed $27,600. The Student Aid and Fiscal Responsibility Act (SAFRA) of 2010 ensures that all federally funded student loans will be directed through the federal government’s Direct Loan Program (DLP,) saving $61 billion and using that money to fund increased Pell Grant funding. SAFRA abolished the Federal Education Loan Program (FFELP), which used subsidized loan companies to provide student loans.
Cry Wolf Quotes
For decades, Sallie Mae has done great work to support millions of students and families and that is felt right here in Central Indiana through employment opportunities and economic development. With unemployment in our region at more than 10 percent, these are jobs we can’t afford to lose.
There's Washington, and then there's the rest of the country. This is the rest of the country….We don't want just any old jobs. We want our jobs.
We’ve been overwhelmed by the outpouring of support from the community. At a time when jobs are so scarce here and around the country, we hope that this petition delivers 31,000 more reasons to support student loan reform that will make college more affordable and protect jobs here in Wilkes-Barre.
Currently, students have the option to choose between private and public lenders, and I am a firm believer that such choice and competition among lenders is the best proven method for reducing costs and improving services. By omitting private lenders, we would create a monopoly within the federal government regarding student loans.
Related Laws and Rules
Evidence
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5 Myths About Student Loan Reform
Campus Progress: Almost all of the student loan industry's warning about SAFRA were wrong.
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Are Student Loan Companies Playing Politics With People’s Jobs
The definitive refutation of “job killer” cry wolf claims regarding SAFRA.
Resources
Campus Progress is the youth wing of the Center for American Progress. They do work in both advocacy and journalism.
Higher Education Watch is the New America Foundation's blog about the politics and policy of higher education.
