The UW System doesn’t have a monopoly on these dubious relationships. Such ties also exist at the Milwaukee Area Technical College and the Medical College of Wisconsin. No, these ties don’t mean that the lenders weren’t chosen on the basis of cost and service to students, which MATC and other campuses say is the case. But rules should bar even the appearance of collusion.
Lawmakers must examine whether a roster of preferred lenders invites abuse. Are there other ways to steer students to the best deals? At MATC, it was disclosed, some lenders donate money for scholarships. Lawmakers should explore if there are any downsides to those arrangements.