When you hear the Executive Branch proudly proclaim that they merely seek to promote a public “option” in their health reform:
“Currently, there are two basic college loan programs: the Direct Loan System, funded publicly, and the Federal Family Education Loan Program, funded privately by banks and lenders who receive subsidies and guarantees from the government. Privately funded loans cost more per loan than the Direct Loan program and provide no greater benefits. Barack Obama and Joe Biden will save taxpayer money billions by eliminating the more expensive private loan program, and directing that money into aid for students.
More here. They are pretty honest about saving taxpayers money by eliminating private loan options for college, and even wish to use the “saved” money to fund more students publicly. The same argument can (and will) be levied against private insurance companies.
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