Educational Issues


Feature Writer: Barbara Pytel
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Barbara Pytel

Miracle-Gro For The Brain

In: Educational Issues (general)

Psychiatrist John Ratey has discovered a link between brain function and the type of exercise we perform. more...

Catholic School Trend

In: Educational Issues (general)

Fifty years ago, it was common to find a community with a small Catholic School filled with children wearing uniforms. But, each year, more schools close. more...

Stimulant Use Under Stress

In: Student Health Issues

The medicine cabinet can be a dangerous coping skill when things get tough. How many high school and college students turn to stimulants under stressful times? more...

ACT Goes International

In: Educational Issues (general)

The ACT is becoming more popular not only in the USA but also globally. more...

Baby Sleep Time and Obesity

In: Student Health Issues

A Harvard study finds that babies who sleep under 12 hours a day are more likely to become overweight in preschool. more...

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Barbara Pytel

May 16, 2008

Student Loan Problems

Falling housing prices, tougher standards for qualifying for loans, and lenders withdrawing is having an impact on student loans.


President Bush recently proposed that Congress buy billions of dollars in federal student loans to ensure students can borrow what they need for college.

How Much Is Borrowed?

In 2007, students and families borrowed

  • $17 billion in private loans
  • $60 billion in federal loans
Since private lenders are pulling out of the student loan business because of low interest rates and other factors, Bush want to make sure the federal government is ready, if needed.

Where Are The Problems?

The problems seem to be located at commercial colleges and some universities. Traditional four-year colleges have seen few problems getting federal student loans.

The House has passed the bill authorizing the federal government to buy out the loans through July of 2009. Senator Edward Kennedy has proposed the Senate version to be considered. Award Letters are just beginning to hit the mail. The crunch may come in the fall.

Source: Jonathan D. Glater, New York Times, April 23, 2008

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