More than five years after President Obama won his contentious fight to remove private lenders from the federal government’s student loan program, his administration is still sparring with parts of the student lending industry.
To be sure, the biggest battle -- stopping the flow of federal subsidies and guarantees to private lenders, which Democrats derided as wasteful -- is over. And there’s no serious effort in Congress to undo it.
But as the federally guaranteed loan program continues to wind down, the entities whose business it is to collect those loans, known as guaranty agencies, remain a dueling partner of the Obama administration.
Read more at Inside Higher Ed: https://www.insidehighered.com/news/2015/07/17/guaranty-agency-sues-education-department-latest-fight-rippling-end-bank-based