Student loan bonds get preliminary OK

• Advocate business staff
• Published: Nov 13, 2008 - UPDATED: 2 p.m.

• Print
• Email
• Save
• Reprints
• Twitter
• Share

• Del.icio.us
• Digg
• Facebook
• Reddit
• 

The Louisiana Public Facilities Authority gave preliminary approval Tuesday to a $200 million bond issue to fund the agency’s student loan program.

Pending final approval, the loans will be offered at rates at or below those established by the U.S. Department of Education.

The agency said the bond issue comes at a time when many banks have pulled out of the student loan business in light of the national credit crisis, which has reduced the availability of college loans.

“While a declining economy has made times tough for many families, we want Louisiana students and their parents to know that money will be available for college,” said John D. Bernhardt, chairman of the LPFA board of trustees.