March 25, 2008

DODD STATEMENT ON EFFECT OF CREDIT CRUNCH ON STUDENT LOAN MARKET

WASHINGTON, DC – Today, Senator Chris Dodd (D-CT), Chairman of the Senate Committee on Banking, Housing, and Urban Affairs and senior Democrat on the Senate Committee on Health, Education, Labor and Pensions, released the following statement in response to survey data released by the National Association of Independent Colleges and Universities: “The tightening credit situation currently gripping our markets is spreading far beyond the financial institutions of Wall Street. The data in this survey suggests that many lenders in the private student loan market are finding it increasingly difficult to provide college loans for students and their families. We must do everything in our power to ensure that Americans have options when trying to finance a higher education, and private student loans should be one of them. In addition, we must continue to expand and strengthen the federal loan program, especially given the rising cost of college tuition. As Chairman of the Banking Committee, and as a member of the Education Committee, I have authored bipartisan measures to help ensure that students and their families can obtain safe, affordable loans that they need to achieve a college education.”