A weakened economy that has prompted some lenders to drop out of the student loan market has resulted in the U.S. Senate considering a bill that would change some of the loan programs frequently used by students, said Financial Aid Client Services Specialist Linette McMurtrey.

An unstable economy and unreliable student loans market prompted Congress to pass the Ensuring Continued Access to Student Loans Act (ECASLA) on April 30, 2008. The bill allowed the Department of Education to purchase student loans from lenders.

The theory was the purchases would relieve the pressure on the lenders. However, lenders were still dropping out of the market, according to reports from the U.S. Department of Education.

 Full story.