I've seen several headlines in recent days that a few a student loan companies are calling it quits. Do they see something coming that I don't see? Is that industry about to become unprofitable? Is it Joe Biden's fault? And what does that mean for student borrowers?
I haven't seen anything about any closing but I am guessing with the income based repayment options on the federal student loans, private lenders are having a tough time competing with the department of education. In addition for families who do not qualify under the DoE financial aid loan programs, the real first big wave of 529 plan babies entering college (which really took hold in the late 90's and early 2000's) has been making private lenders less important.
