Simplifying the Process
The Federal Student Aid application known as “FAFSA” was longer and more involved than a standard Federal tax return. Millions of high school students didn’t even apply for a Pell Grant in 2004 despite being eligible because FAFSA was 5 pages long and over 125 questions.

The FAFSA process has been streamlined and may be eliminated altogether for an even more simplified approach using tax returns as application forms.

Out Goes the Middleman
With tax payers supplying all the money, only one-third of student loans were being administered by a government agency.   Two-thirds of loans were administered by private banks who got paid for each loan and pocketed the interest paid for years.   That’s millions of dollars that went to private bank coffers and not students in need.  No longer. 

Private Banks like JP Morgan Chase, Bank of America and others have sent letters to the families of students advising that going forward, their student loans would be administered by the Department of Education.