Michael Mumper


Today, college presidents, financial aid administrators, and campus leaders face a difficult and complex question. Should they apply to participate in the William Ford Direct Loan program or should they stick with the Federal Family Education Loan (FFEL) Program? The Direct Loan program is presented by its supporters as a more efficient system that can provide better services to students at a lower cost to institutions. However, critics of Direct Lending argue that it is still an experiment that carries high risks and has no proven track record.