Student

May
12
2010

Written by:
Shali Zhu

Friendlier Private Student Loans

College students who have educational loans from private lenders could be looking forward to a more borrower-friendly environment if two recent pieces of Congressional legislation are passed. The first helping hand comes from the financial regulation bill under consideration in the Senate and the House. Although the Senate and the House are debating different versions of the bill, both versions of this key piece of legislation are promoting a consumer protection entity that would address borrower complaints about unfair private student loan practices and supervise the underwriting policies of private lenders. The second layer of protection comes in the form of the Private Student Loan Bankruptcy Fairness Act of 2010, which will allow for some of a borrower’s private student loans to be discharged if the person files for bankruptcy.

May
8
2010

Written by:
Shali Zhu

Student Insurance: Cleaning Your Bill of Health

During last year’s swine flu outbreak, a number of students flocked to their universities’ health centers, wondering if they too had been infected with the H1N1 virus. While the services provided by campus health centers are much appreciated, especially in times like these, the fees they charge are far less pleasing. For one freshman at the University of Maryland, Baltimore County, his bout of swine flu in October 2009 ultimately hurt not only his immune system, but also his wallet. Although Ilya Dynin used his parents’ insurance plan to cover his visit to the school health center, a recent Wall Street Journal article reported, he was later charged $65 in co-pay and late fees. Dynin is not alone. With an eclectic mix of private coverage and student plans, the college health system has few rules regulating how schools should charge students for health services.

Mar
14
2010

Written by:
Shali Zhu

Is There a Student Loan Bubble?

For many college students, educational loans are an unavoidable side effect of attending institutions of higher learning. As the tuition at colleges and universities across the country continue to rise, the total amount of student loans in the U.S. has ballooned as well. According to the College Board, overall borrowing for school has more than doubled from $41 billion to about $85 billion in the ten years leading up to the 2007-2008 academic year. Moreover, a recent article published by the Wall Street Journal states that the percentage of private loans has more than tripled from 7% to around 23% in the same time period. Adding to these already massive student loan figures, the U.S. Department of Education established an initiative in late 2008 to repurchase up to $6.5 billion of student loans in order to further bolster access to student loans. With all the easy borrowing and prolific lending, does the U.S. have a student loan bubble?