Thursday, 11 March 2010

My Not So Daily O

It appears the ridiculous problem that is college debt isn't going to be solved anytime soon. Getting rid of our student loan system was one of the many issues on the Obama platform that I strongly agreed with (along with his college days fashion choices). Looks like they both are history.

WASHINGTON — With Democratic Congressional leaders and the White House struggling on Wednesday to finalize the details of major health care legislation, House Democrats were desperately trying to prevent another of President Obama's top legislative priorities – an ambitious overhaul of student loan programs – from becoming a casualty of the health care battle.

But Democrats in the Senate, where the private student lending industry has strong allies, predicted on Wednesday night that the education bill would not be part of an expedited budget measure containing the final revisions to the health care legislation. Some Democrats said that such a move would stall the student loan changes at a minimum for several months, and perhaps kill the overhaul altogether.

Mr. Obama’s plan would end a program in which the government pays private, for-profit student lending companies to make risk-free loans using taxpayer money. Instead, the proposed overhaul would broaden the government’s existing direct-lending program, saving billions of dollars that the president had proposed using to expand Pell grant scholarships for low-income students.

Read the rest of the story here.

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