Uncle Sam wants to help pay for your education . . . Penn State has a chance to team up with the federal government to help students. The University can help ease the financial burden that faces students after graduation by adopting the recently approved direct student loan program.
Students currently have to go through banks to receive loans, as well as pay lending service fees.
But the new program would transfer half of that bank control to the government. They also will be able to repay loans based on income after graduation. In addition to student benefits, taxpayers would have less of a burden in deficit reduction and part of the money will return to student programs. University officials already have voiced support for the trial period, but have not yet decided if they will adopt the program. As many Penn State students receive government aid, University officials are obligated to consider the new program.