Thursday, April 19, 2007

Student Loan Investigation

I've talked about this before:

Colleges have inflated prices over the last decades mostly because they know if students and their parents don't have the money to pay, they can get big student loans. The student loan limits continue to rise and bam! so do college costs. Funny how that works.
Attorney General Andrew Cuomo found this nefarious arrangement between college loan officers and student loan lenders:

Cuomo says his investigators uncovered numerous arrangements that benefited schools and lenders at the expense of students. For example, investigators say lenders have provided all-expense-paid trips for college financial aid officers who then steered students to the lenders.

Cuomo's office has found that loan officers at a few schools had stock in a company that owned Student Loan Xpress, which was on the schools' preferred lender lists.

Ya don't say..... Well, this has always been a problem. The solution? Cash. Work your way through college. The loan system is an abomination and turns people into government servants for decades.

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