WASHINGTON — Though regulatory reform has stolen center stage on Capitol Hill, the Obama administration remains intent on wiping out the Federal Family Education Loan Program, and its demise appears to be just a matter of time.
The House passed legislation last year to end the program, which lets lenders offer student loans at low rates through partial government guarantees, and the Senate plans to follow suit soon. Though it has been stalled by the lingering debate over health-care reform, the measure enjoys strong Democratic support, in part because dismantling FFELP is projected to save the government $87 billion over 10 years.
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