1. Latest News
  2. Submit Press Release
  1. PR Home
  2. Latest News
  3. Feeds
  4. Alerts
  5. Submit Free Press Release
  6. Journalist Account
  7. PRNewswire Distribution

Cuomo Gains Momentum Investigating Student Loan Practices

More questionable student loan practices have been brought to light by New York’s attorney general, Andrew Cuomo. In fact, one of the front-page stories of today’s New York Times focuses on the questionable relationships that...

 
PRLog - Apr. 16, 2007 - STATEN ISLAND, N.Y. -- More questionable student loan practices have been brought to light by New York’s attorney general, Andrew Cuomo. In fact, one of the front-page stories of today’s New York Times focuses on the questionable relationships that Student Loan Xpress—the eighth-largest student loan agency—has developed with the financial aid directors of certain colleges and universities .

Corruption or Reducing Marketing Expenses?
The idea that financial aid directors of colleges and universities would give biased advice to students is disturbing on many levels; and surely that is why Andrew Cuomo has attracted so much media attention.
The fact remains though, that companies like Student Loan Xpress are trying to find the easiest and least expensive way to make their services available to as many students as possible. If Cuomo’s allegations are correct, it seems that Student Loan Xpress has found a way to reduce marketing costs by contacting prospective clients directly through financial aid directors.
In essence, the problem is the “wolf in sheep’s clothing” that the financial aid officer represents: when the officer’s interests are directed towards him/herself rather than toward finding the best financial aid solution  for the student, it is wrong.

Solutions
There have been calls for increased regulation of the student loan industry, but so far I have not read very much about best practices in the student loan industry.
When marketing to prospective students, we have found that leveraging rich content reduces many of the problems with “incentives” that arise in education marketing. Providing the individual with the means to make an educated decision may be more expensive in terms of marketing, but this method ensures that the student is genuinely interested in the product that is being offered, rather than being coerced into making a decision.
The outcome of Cuomo’s investigation may very well force student loan companies to spend more money on marketing, and make their services more accessible to the  individual student.

--- End ---

Click to Share

Contact Email:
Source:Patrick Sutton / Innovation Ads
Website:http://www.innovationads.com/pr
Phone:212 509 5218
Zip:10279
City/Town:Staten Island - New York - United States
Industry:Student loans
Tags:enrollment management, direct response marketing, college and university, financial aid, student loan
Shortcut:prlog.org/10013837
Disclaimer:   Issuers of the press releases are solely responsible for the content of their press releases. PRLog can't be held liable for the content posted by others.   Report Abuse

Trending News...



  1. SiteMap
  2. Privacy Policy
  3. Terms of Service
  4. Copyright Notice
  5. About
  6. Advertise
Like PRLog?
9K2K1K
Click to Share