College Loan Deception
The student loan industry is big business, pocketing more than $85 billion a year. But some are worried colleges may be contributing to that profiting and leading students astray.
Sometimes schools get kickbacks for promoting particular loans to students. University of Florida financial aid officials say it's not a practice UF takes part in, but it's commonly known other schools do.
Now Florida's Attorney General supports federal legislation to tighten the rules.
"Those who are in a university setting are going to make sure that every student knows who the best opportunties are with to get a loan and that there's nobody in the loan business providing the university or college some kind of a kickback or any kind of remuneration or pay or benefit for posting their particular loan service," says Attorney General Bill McCollum.
There's a bill in congress called the Student Loan Sunshine Act to protect students and parents from this deception. It was approved by the House and the Senate is expected to talk about it this week.
Anne Imanuel, WCJB TV20 News
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