Debating Rules For Student Loan Officers
May 23rd, 2007 - Posted in College Loans, Education, Student LoanNew York’s attorney general has written a highly critical letter to college financial-aid officials saying their proposed new code of conduct would not curb abuses in the student loan industry.
Andrew Cuomo’s office has been investigating the industry for months. He says the new code cites only general, “vague lofty goals.” In a letter to Dallas Martin, president of the National Association of Student Financial Aid Administrators, Cuomo says a code he developed is better. It’s been adopted by two dozen universities and six student-loan companies. Among other things, it bars colleges from receiving anything of value from a student loan company in exchange for an advantage sought by that company.
A lawyer for the college group says it is making its proposal tougher. He says it no longer thinks it’s OK for financial aid officers to be reimbursed for serving on loan company boards.
Information from: www.wlbz2.com/