Sept. 21, 2009


  • I've struggled for several years to find FFELP-eligible credit unions that could receive my student loan business but have always come up without any options. It's this poor marketing on the part of the CU movement that has led me to fully support the Direct Loans initiative and cessation of the FFELP program. If I had been able to direct these government handouts to my credit union, I would have. Directing the handouts to the for-profit banks is not appealing to me, so I'd rather the government, through Direct Loans, receive the rewards of the risks they're already taking by guaranteeing the loans, rather than having that nearly risk-less income going to "capitalist" banks like Citi or entities like Sallie Mae.