After the NY Times and WaPo articles yesterday about the forces opposing the elimination of FFELP, it appears that the press secretary decided it was time for the Obama Administration to fight back.
Here is an excerpt of transcript from the press briefing today (I mean yesterday, it is getting late)
MR. GIBBS: One of the battles the President has specifically taken on is that of direct lending; that the practice of our government right now is to reward the middleman for processing a student loan that can be done far cheaper by simply using -- by having a direct loan program. You guys often ask about the deficit, you guys often ask about fiscal responsibility. The President's proposal would save $94 billion -- billion with a "b" -- over a 10-year period of time by taking the banks out of the middle of this process.
That's not going to be an easy fight in Washington, D.C. Lobbyists have been hired, as is usually the case right before a big fight happens. But the President remains committed to taking steps that he can to make a college education more affordable.
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