One Size Doesn't Fit All
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State agencies like UHEAA that dominate FFEL are worse than the federal govt -- antiquated processes, technology and bureaucracies. Why should taxpayers in California or Colorado subsidize Utah jobs?? Utah is still free to make loans -- with its own money. From 1965 to 1976 states like Utah refused to start loan agencies -- until Congress sweetened the pot with even more subsidies.
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Most major Universities have switched to both the NDLSC and the Direct Program. This has become a battle by the Community Colleges.
My loans are with Direct, I moved them from one of the majors - the service is better, people better - all around, much better. The corruption of the FFELP system has rendered it void of credibility. It's rare that the government is more efficient, but after the corruption of the FFELP, it IS.
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Amen. Anyone who has been to the DMV (at least in my State!) has had a taste of bureaucracy and red tape that goes along with government-run programs & agencies. No thanks. People are fools for letting this get past them. And I mean no offense to anyone either!
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Reminds me of a Pink Floyd video. Just add a meat grinder.
Maybe the IRS can service student loans if they federalize them. Nobody knows what they do most of the year anyway and customer service is always excellent, unless you actually need to speak with someone.
Don't worry though. I'm sure the Federal Government can do it better and cheaper than local businesses and non-profits.
It's nothing against Obama, but shouldn't we question at least some of his decisions?
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Get rid of the FFELP - it is corrupt. Don't believe the propaganda by the MIddle Men. Their personal interests are taking priority over students and graduates.
In 2008, more than 100 Universities were under investigation for more than 90% of their FFELP loans going to one provider. The notion of :market: competition is ridiculous - student loan companies incentive or induce schools for preferred lender status resulting in nearly all loans at any one school going to one provider.
studentloanreform 2 years ago
@studentloanreform, thank you for your candor and perspective. It is truly unfortunate that the actions of a small minority gave the FFEL program a black eye - as the cliché goes, "one bad apple can ruin the whole bushel."
Thank you for taking the time to help clear up the common misconception that all FFEL participants are part of a larger scandal or operate based on self-interest - nothing could be further from the truth.
uheaa 2 years ago