Change to college loan policy dropped

THURSDAY, MAY 2, 2002

The Bush administration has dropped a proposal to change a college loan policy due to lack of Congressional support.

The Office of Management and Budget wanted to eliminate fixed-rate consolidation for the Pell Grant program in order to make up for a $1.3 billion shortfall. Consolidation can save students thousands of dollars.

Senate Democrats wrote President Bush on Tuesday to oppose any changes.

Get the Story:
Bush will drop proposal to use student loan savings for Pell grant shortfall (AP 5/1)

Relevant Links:
Federal Pell Grants - http://www.ed.gov/prog_info/SFA/StudentGuide/2000-1/pell.html

Related Stories:
Changes to student loan policy sought (4/30)