The National Association of Independent Colleges and Universities did a survey in September the results of which mark that in about 504 colleges in American nearly 87% of the students do not have access to their lenders anymore.

In the Albright College, there were a little less than 20% of students who took out private loans, per the financial-aid director Mary Ellen Duffy stated that a number of borrowers are meeting up with double-digit interest rates or they had to get some new lenders in the current year.  This is eventually because the banks are afraid to lend any.

"They may have fewer funds to lend," stated Duffy. "They are not willing to lend money to Students and get in to a risky situation."

However, he stated students have not left Albright since they were not able to get loans.
And Duffy stated that any student who has finding student loans are those who had very less credit ratings and they were not able to find cosigners - in other terms, those students who did not get their loans were those who will still have problems with borrowing regardless of there being a credit crisis or not since their credit ratings were less.

Even with all the discussions about the availability of student loans declining each day, local financial help officials declare that there is not really a requirement to be anxious about federally funded loans, like the PLUS loans for parents and the Stafford loans for students.

Students will be able to borrow only so much; however, the limits increased in May. The limits will be increasing as long as the student is in college.

"All this uproar which began in the student-loan industry did not begin with a Stafford loan," stated Bernard L. McCree, KU's financial help director.

The Pennsylvania Higher Education Assistance Agency is still disbursing out grants; however, they have stopped lending, for the time being.  They are referring loan applicants nearly 200 banks which has been listed on their Web site.

"No student's been refused a loan they have required this year," A HEAA spokesman Keith New stated; however, he also remarked that "We don't expect that next year."