House Republican Tom Petri of Fond du Lac, long an advocate of reforming a federal student-loan program, introduced a bill Wednesday that he says would cut costs to taxpayers and let students reap the benefits.
At issue is whats called the Federal Family Education Loan Program. It lets private lenders make student loans at interest rates determined by a formula set by the government. In the end, the return to lenders is generous while the government guarantees almost all loans, relieving lenders of most risk, Petri said.