May 24, 2007

Thursday, May 24 , 2007 Ohio Attorney General Takes Action Against Borrowers with Defaulted Loans By Brooke Heath Ohio University alumni with defaulted student loans have reason to worry. Recently, the Office of Ohio State Attorney General Marc Dann announced that he is in pursuit of a number of alumni who have neglected to repay their student loans and, as a result, have gone into default. These long-delinquent loans have been referred to the attorney general's office from Ohio University. According to The Athens News, the majority of the debt is in the form of Perkins Loans, which are campus-based loans given directly to students at the university. These loans are also need-based; students need to demonstrate financial need to be eligible to receive these low-interest loans.  read more Sponsored by MedicalSchoolLoans Legislation Proposed in Illinois to Allow Illegal Immigrants to Receive Student Loans By Brooke Heath Recently, Illinois Senator Martin Sandoval (D-Chicago) proposed a law that would make any Illinois resident with a 3.0 grade point average eligible to receive state-backed student loans, even if he or she is an illegal immigrant. If passed, this controversial bill would allow any Illinois student seeking financial aid to be eligible for $5,000 per year to pay for his or her higher education, regardless of citizenship status.  read more Senator Edwards announces College Opportunity Agenda Senator John Edwards has announced a plan to make higher education more affordable for millions. His College Opportunity Agenda lays out a national "College for Everyone" initiative. The proposal would cover one year of tuition, fees, and books for students who attend public colleges and who show willingness to work hard. Edwards' agenda also provides students with the necessary tools to apply to college and obtain financial aid. It calls for simplification of the FAFSA, encourages states and institutions to maintain low tuition rates, and strengthens high school curricula in order to prepare students for college. Edwards also plans to do away with the FFEL program, which would allow students to bypass banks and go directly to the Department of Education for their borrowing needs. McKeon and Keller concerned about budget process for changes to Direct Loan program Senior Republican Member of the Education and Labor Committee Howard P. McKeon and Ranking Republican Member of the Higher Education, Lifelong Learning, and Competitiveness Subcommittee Ric Keller wrote a letter to members of the House Committee on the Budget. The letter expresses concern over the budget process to be used to instigate changes in favor of the Direct Loan student aid program. In the letter, McKeon and Keller state that the method being considered would subvert legislative order and permit policy changes by way of a process typically reserved for deficit reduction.  read more To ensure that the Graduate School Loans Newswire is delivered to your Inbox, please add registration@graduateschoolloans.com to your address book. © 2007 Graduate School Loans. All rights reserved. Office: 175 South Lake Avenue, Suite 200, Pasadena, CA 91101