News wire article from our research archive:

Study shows U.S. student loans cost less

Kathryn A. Wolfe
University Wire
12-07-1999
(Daily Texan) (U-WIRE) AUSTIN, Texas -- The University of Texas will not use direct student loans because they require too much effort and don't give additional benefits to students, despite a U.S. Department of Education report released last week saying these loans may cost federal taxpayers less, UT officials said.

Direct loans are not used at the University because they require too much additional work -- such as issuing notices, collecting overdue payments and assuming legal liabilities -- and give no extra benefits to the University or its students, said Lawrence Burt, director of UT Student Financial Services.

Instead, the University uses ...

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