NASFAA Sends Letters Of Support For Loan Non-Discrimination Legislation
NASFAA President & CEO Dr. Phil Day sent letters of support to Sens. Patty Murray (D-WA) and Chris Dodd (D-CT) yesterday on the Preventing Student Loan Discrimination Act (S. 3141), a bill that would prohibit lenders from denying FFELP loans to eligible students solely based on the institution where they attend, the length of their college program, or their income level. S. 3141 was introduced in the Senate last week.
"Far too many of our members report that some lenders are declining to provide federal student loans to their students," wrote Day. Based on a recent survey distributed among NASFAA member institutions, NASFAA found that more than 60 percent of respondents believe that rules or incentives should be put in place to ensure that FFELP lenders offer loans to all students irrespective of the school they attend.
"While I understand that lenders have a fiduciary responsibility to their shareholders and a responsibility to remain financially viable, there’s something unjust about lenders accepting taxpayer subsidies on loans that are then withheld from the students who need them most," wrote Day, calling S. 3141 " exactly the right remedy."
Posted 06/25/08 to www.NASFAA.org. Redistribution to non-NASFAA institutions is prohibited. Please submit Web Site questions or comments to Web@NASFAA.org.
