At the University of San Diego's Financial Aid office, students are worried about their college dreams getting shattered.
"They're really nervous because they don't know if they're going to be able to get their loans," said Dolores Blackwell, Financial Aid Student Adviser. Blackwell says many students are so worried, they're even thinking about not going to college altogether. With the U.S. economy in a slump, lenders are nervous. It's a combination of the financial market continuing to unravel in addition to the subprime mortgage loan crisis. Many lenders are putting college loans on hold while some are pulling funding altogether.
"Different lenders are reacting in different ways," said Judith Lewis Logue, Director of Financial Aid at USD. "What they really need to be concerned about is what's happening at the college they plan to attend, because it's different for different schools."
Logue has a brighter side to the story, she says funding isn't sinking college careers just yet, she says it all depends on the lender.
"Some of the lenders who got into it for the student loans -- and that was their sole motive -- they are falling by the wayside." said Logue.
According to Logue, USD only works with the larger lenders. She also says journalists aren't telling the whole story. While it has been reported widely on the lender crisis, she says not much has been said about the help on the way.
"The U.S. Secretary of Education has met with the U.S. Treasurer and they have made a commitment that there will be money for students to borrow," said Logue.
So whether it's money borrowed from the bank or the government, there will be money for education and that's news students can use.
Logue says for students new and returning, the best place to check for answers is with the Financial Aid office. They will no whether there is a problem and what is the best way to resolve it.
Source:-http://www.fox6.com/news/local/story.aspx?content_id=5aaf8a86-9d53-4e14-a39a-209d251d8c7d |
Students financial aid