Stephen Spruiell, writing about public versus private student loans on CBS News Online:
The public option has proven unpopular: Except for a credit-crunch-related spike last year, its market share has fallen steadily since its inception. Schools prefer private lenders because they tend to offer higher service levels with the goal of making students lifelong customers. The government processes paperwork, and that’s about it.
This is a pretty misguided paragraph, but Spruiell is right about one thing: private lenders absolutely want to make students lifelong customers. That’s kind of the problem.
