Obama's College Aid Transformation

(Quick Note- I've changed my blogging account from NY College Dems, to my name, Dan Levin, as my term expires as President of the College Democrats of New York).

Among the many issues that the Obama administration is trying to tackle, is expanding financial aid for college students while cutting costs at the same time. To do this, he is planning on cutting out the middle man, the private lenders.

From

Obama also is seeking to overhaul federal Perkins loans, administered by schools to bridge gaps between other loans, grants and scholarships. The revamped Perkins program would provide $6 billion in loans a year, compared with the current level of $1 billion, and participation would be expanded beyond the current 1,800 institutions to all 4,400 colleges and universities. An additional 2.7 million students could receive the loans.

The plan would save an additional $94 million, which could then be redirected to more students.

Of course, the Republicans and the private lending lobbyist groups are gearing up for a fight. We can only hope this plan gets passed before the fall academic semester