Tomsho, Robert & Corey Boles. Term Paper

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However, the new House will "provide capital to lenders as a last resort if students are unable to get loans otherwise" (Tomsho & Boyles 2008).

Investing in student loans and education is an investment in America's future. The students seeking to secure loans today had no role in the current subprime mortgage crisis that created the lack of available lending capital. Although this may hurt some students who use private lenders, giving FEEL added support helps the majority of students and the most financially needy of students secure loans to begin or to finish their education.

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The fact that "under the legislation, the Secretary of Education could purchase student loans from private lenders on an interim basis to provide emergency liquidity to markets," will give students, their parents, and banks added comfort that there will not be a crisis of students fleeing the schools, even if the credit….....

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