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View Full Version : Saving the FFEL Program


bill1
April 27th, 2009, 8:58 pm
Obama and leading Democrats have taken one more step toward the nationalization of our student loan programs. The addition of reconciliation language to the conference budget proposal goes a long way toward removing the private sector from student loans. We should encourage banks to continue to lend in the only truly uninterrupted flow of credit. Dems should not be looking to add another trillion to the national debt. Why should everyone pay the government a profit of around 6% to be used for making higher Pell grants for a few?

Senator Alexander had it right in his motion to instruct Senate conferees. I work in the FFEL industry and the president (personally) wants to put me (personally) out of a job. There are about 30,000 colleagues of mine throughout the country who would also be unemployed under the new proposal. Secretary Arne Duncan made some insensitive comments about the number of unemployed being insignificant. Given that I am one who stands to loose my job, I find it quite significant. It's not like the job market is great and something new will just fall into my lap. Maybe they should busy themselves with creating meaningful jobs before eliminating more of them.

Polkfan
April 27th, 2009, 10:24 pm
This isn't the nationalization of the student loan industry. The student loan industry is already nationalized. Government already assumes all the risks in the program. There is no logical reason for banks to issue the loans. The entire reason they do so under the current law is a kickback to the financial sector.