EDUCATION LENDING GROUP INC history

Since 1983, providing access to higher education financing has been at the heart of Access Group’s non-profit mission.

The Student Loan Reform Act of 1993 significantly changed the student loan landscape by creating a new Federal Direct Loan Program.17 In the Direct Loan Program, the government through the Department of Education (the Department) directly originates student loans.

10.6.4.3.2 Legal bases and standard for FFEL borrower defenses on FFEL Program loans disbursed since 1994

Instead, in the 1997 Omnibus Consolidated Appropriations Act, they prohibited the Department of Education from encouraging or requiring colleges to switch to the direct loan program.

In 2003, a team of investigative reporters at United States News and World Report looked into what was causing some colleges to switch back to the guarantee program.

11.2.6 The Role of Programs Guaranteed or Insured by a Nonprofit or Government Entity in Cases Decided Under the Pre-2005 Version of Section 523(a)(8)

Beginning in 2007, many student lenders decided to leave the student loan business.

Found., Rethinking the Middleman (July 2009).

In 2010, Congress passed and the President signed into law a bill that eliminated the FFEL program for all new loans made as of July 1, 2010.

For more on household trends in borrowing and indebtedness, including a special section on student debt, see the 2012 Q4 Quarterly Report on Household Debt and Credit and two special presentations on Household Debt and Student Debt.