New loans for Fall 2010??

Well, I know it has been a long month since my last entry, but that doesn't mean that all has been quiet in the financial aid world. It has been anything but quiet. President Obama is proposing to increase the largest federal grant program - Pell Grant - by eliminating the FFEL(Family Federal Education Loan)program. Instead of student borrowers being able to obtain student loans from private lending institutions, such as CitiBank or Chase, the federal government would be the only lender for these low interest federal loans. There is heavy support for this by Democrats, but many Republicans and school aid officers are dubious of the government's ability to meet the need of student's nationwide. Currently students borrowing through the federal government directly comprise only about 20% of the market. For the government to assume 100% of the student loan market, there would have to be some major work done. While this is being promised by the U.S. Department of Education, it has yet to be seen whether they will be successful with this effort.

Also remember, use the summer to do some private scholarship research!!! An hour per week for scholarship searches and applications could mean some free money in the future!!!

www.fastweb.com

www.schoolsoup.com

www.scholarshipexpert.com