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Government to take over all student loans (Rep. Michele Bachmann)

By Rep. Michele Bachmann (R-Minn.) - 09/17/09 09:58 AM ET

Another month, and another attempt by the Obama Administration to take over a successful portion of the private sector. Banks, cars, and now student loans. I'm beginning to see a trend here.

Today, the House will complete consideration of the Student Aid and Fiscal Responsibility Act of 2009, otherwise known as the public option for higher education (not to be confused with the public option for health care -- but the similarties can't be overlooked). Advocates like the President maintain that if passed, this bill will bring a "level playing field"  between government and private options. Sound familiar?

However, history tells us that when it's all said and done, the only one left standing on the "level" playing field tends to be the government.

Ending private sector competition in the student loan industry and making the Direct Loan program the sole provider will kill jobs, and greatly expand the control of the federal government. The Federal Family Education Loans (FFEL) program has been the overwhelming choice for student and parents for the past 40 years. In fact, 78% of all new federal student loans from 2007-2008 were administered through this program. Yet, the government wants to end it. It doesn't make any sense.

If nothing else, this bill tells us one thing -- if the government can't succeed on its own merits, they'll eliminate the competition. That should concern us all.

Cross-posted from Townhall.com

Source:
http://thehill.com/blogs/congress-blog/education/59191-government-to-take-over-all-student-loans-rep-michele-bachmann

Comments (40)

Michele Bachmann has got to go! Dr. Maureen Reed is running against her and she is the ticket to beating Bachmann. You can learn more about Maureen, and donate, at:http://maureenreedforc ongress.com/andhttp://en.wikipedia.org/wiki/Maureen_ReedBY MNBlue on 09/17/2009 at 12:11
"successful portion" wtf, That maybe so, but what about the people that can't go to college because the price is too high.Maybe this "public option" will be the only chance at making college affordable to people that can't pay (myself included), and helping the people that are banking the family savings for an education that may not have jobs after graduation.BY Tim on 09/17/2009 at 12:19
It might help put into proper context Bachmann's alleged "concern" for student loans to examine how she's voted on federal funding for student financial aid—as opposed to merely reporting the latest fantasy from her empty head..BY George Hayduke on 09/17/2009 at 12:33
Thank you, Michele - keep up the good work! You must be doing a really good job since the "progressives" ridicule you almost as much as they do Sarah Palin.Bravo!BY MrsT on 09/17/2009 at 12:46
BTW, Tim, there's a lot in the way of scholarships and grants available to offset the cost of college. Also, you might consider student loans and part-time jobs in order to further your education. Start by attending a few classes at a community college. If you work hard and do well you'll get an associates degree and then be able to transfer to a better school to complete your education. This is what my daughter had to do. It took her almost 7 years and she has some debt to pay off, but she has a degree from a respected university and she did it without any help from the government.Patience, Grasshopper. Where there's a will, there's a way. :)BY MrsT on 09/17/2009 at 13:00
NOTHING in this new bill takes any measure to reduce the cost of tuition. Loans are already available at incredibly low rates but the colleges keep raising tuition because money is available and demand is high. Basic economics here folks. If the government wants to make college affordable then put caps on tuition increases for public schools. Problem solved.Anyone who has taken the time to look over the last 20 years of history will see that every time the government increases access to funds the schools raise tuition accordingly. It's a failed solution and they keep adding fuel to the fire.BY Bill on 09/17/2009 at 13:30
Yeah Bill, cap the tuition. Then the good professors will quit and go to other institutions and the public colleges will sink to the same level as the public high schools. And THAT is basic economics Bill.BY Jimmy Knuckles on 09/17/2009 at 14:02
Oh yeah - it's all about racism. While you look away, yet another free market commodity has been taken over by the government. So it started with financial institutions, moved to cars, attempted to move to healthcare. Now there's student loans and discussion about the internet! Are you still distracted?I'm not - but what do we do?BY Rick Alaska on 09/17/2009 at 14:13
Cost reduction, efficiency, availability is NEVER the result of federal gov't intervention!!! Yes, Michelle must have the "progressives concerned. Only those who pose a threat to them earn their ridicule!BY RJmills on 09/17/2009 at 14:14
'However, history tells us that when it's all said and done, the only one left standing on the "level" playing field tends to be the government.'Maybe that's because most people in this country prefer the government programs to getting screwed by their banks? Once again Bachmann takes sides with the banking industry and big business over the needs of ordinary Americans.BY Ryan on 09/17/2009 at 14:15

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