Higher Ed Watch: Latest Articles

Colleges and college aid officials have been funneling their students to big banks like Sallie Mae and Citibank in exchange for cash, gifts and in-kind benefits, according to a series of recent public investigations, the most energetic of which is being led by New York State Attorney General Andrew Cuomo.

Thus far, the investigations have resulted in the suspension of 10 higher education officials, including Columbia University's director of financial aid, the issuance of almost 100 subpoenas nationwide, and… more

After 15 years, of reporting on the student-loan industry, I didn’t think much could surprise me. But even I was shocked last week when I discovered Securities and Exchange Commission documents revealing that financial aid directors at three prominent universities -- as well as a senior official at the U.S. Education Department -- each had significant personal investments in a private student-loan company

What possibly could have motivated these officials to take tens of thousands of dollars in stock options from… more

America’s financial-aid system provides too much taxpayer support to banks that make college loans, asks too little of students who assume them, and burdens families with too much debt. We need to rethink the system in order to improve college access and affordability. Federal higher-education policy largely fails to reward rigorous college-preparatory work in high school. It penalizes students who hold jobs while in college. Lenders make extraordinary profits, while young people leave college burdened with debt and, more often… more

When March Madness ends next Monday, the NCAA men's basketball champions will get to cut down the nets at the Georgia Dome and visit the White House. What many won't go on to do is graduate from college. And the classmates celebrating their school's triumph might not either. In fact, colleges that excel in the top tier of basketball -- Division I -- have dismal graduation rates overall, not just for their players. There are also profound gaps between their… more

The average graduate of a four-year college now sets off in life burdened by almost $20,000 in student loans. Among those graduating from four-year private schools, it is not uncommon to owe $40,000 or more. Responding to this unprecedented burden on Americans seeking to improve themselves, the House recently passed a bill that, on average, would reduce the loan interest paid by college students by about $30 a month.

That’s welcome relief. But by forcing banks to compete for the… more