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Financial Aid in the News

Community Colleges Want Their Authority, Not Banks', Over Student Borrowing (The Chronicle of Higher Education)

"The nation's community colleges want the authority to deny some of their own students the right to take out a federally subsidized loan. The colleges think that some students won't get jobs with salaries large enough to pay back the debt," The Chronicle of Higher Education reports. "Officials of the American Association of Community Colleges said this week that they were stepping up efforts to win enactment of legislation that would give their colleges the authority to reduce the amounts that some students could borrow under the federal programs. The change is necessary because colleges now have no way to prevent a student from seeking a loan that doesn't make economic sense, given the student's long-term job prospects, said David S. Baime, the association's vice president for government relations."

You can read the complete June 18, 2008 Chronicle of Higher Education blog on-line.

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