College Loan Consolidation, Federal Loan Consolidation, Private Loan Consolidation, Student Loan Consolidation

America's Top Student Loan Provider




EdFed Sides with Students on Single Holder Rule



At an April 27 Sallie Mae seminar in Los Angeles, Southern California students showed up to protest the education lending giant’s stand on the Single Holder Rule, which eliminates refinancing options for many college students and graduates.

Students called Sallie Mae “a predatory lender” and accused the company of discouraging competition through disingenuous means.

EdFed CEO Harrison Barnes said, “This opposition to a free market is toxic to the entire education lending industry. All these lending companies, EdFed included, need to be able to compete to offer students the best borrower benefits, the best interest rates, the best repayment schedules, the best customer service.”

Barnes continued, “Without this kind of competition, there is no doubt in my mind that students will end up shouldering the burden of what, in many cases, amounts to a practical monopoly.”

Sallie Mae is the largest education lender in the country. Its closest competitor is Citibank; still, Sallie Mae originates, holds, and consolidates more than four times the volume of loans that Citibank does.

The Single Holder Rule prohibits borrowers from choosing which company will consolidate their student loans if only one lender holds all education loans. For example, a student whose school automatically assigned her loans to Lender X and who did not actively decide to use a different lender may now not choose to consolidate her loans using Lender Y.

Since Sallie Mae is the only holder for many individuals’ student loans, the company stands to gain billions now that the rule is being actively enforced. One protester called the rule “the single most anti-competitive, anti-consumer law in the country”

At the protest, one student carried a picket sign reading: “What Do Sallie Mae and Tonya Harding have in common? They both eliminated competition.”

Others displayed slogans such as “Sallie Mae is number one because she got rid of everyone,” and “Sallie does not have our best interest rate at heart.”

The group also distributed critical articles from Fortune, the New York Times, and nationally syndicated columnists.

Media Contact:
Carleen Trapp
Manager
EdFed
Carleen@EdFed.com
626.243.1881



How EdFed Helped others!
Thanks for making everything so clear and easy during my consolidation.
- Mike T.  Denver, CO
* Your Name: * Your E-mail Address:

We respect your privacy.
* Your Friend's name: * Your Friend's E-mail address:
Include a Message:
+ Privacy Policy
call:
(800) 821-5659

Student Loan Consolidation Info - How to Choose the Right Loan Company

This column is sponsored by Granted, America's top job search engine. The Career Resources column is presented by Granted, America's leading job search engine dedicated to getting people jobs.

Education is one of the most basic right of any human, but with the increase in prices and the costs involved in education this has made these rights turn into a privilege which very few can enjoy. Any normal person today in the whole of United States has to take an education loan at one point of time to pay for their education fees.

read more
CONSOLIDATION NEWS
Schools Will No Longer Receive Paper FAFSA Forms
(September 20, 2007)

news desk
CALCULATORS
Stafford Loan Payment Calculator
PLUS Loan Payment Calculator
Loan Consolidation Payment Calculator
Articles
Calculators
FAQs
Glossary of Terms
Loan Comparison Chart
Scholarship Search
Combining your loans into one single consolidation loan can reduce your monthly bill-paying paperwork.
US School Directory
Comprehensive List of Schools at which EdFed Assists Students.
EdFed is a FFELP lender with lender identification number 834241.
© Copyright 2016 EdFed. All Rights Reserved.

Home · About Us · Contact Us · NewsSitemap
Career Advice · Tell a Friend · Privacy Policy · Resume Service
Resume Distribution Service · Post Resume · Job Search Course
EDFED NEWSLETTERS
Sign up for the latest news on student loans.
Email Address:
+ Most Recent Newsletter
+ Newsletter Archives