Arkansas Considers $80 Million to Help Student Loan Agency - KAIT Jonesboro, AR - Region 8 News, weather, sports

Little Rock, AR

Arkansas Considers $80 Million to Help Student Loan Agency

LITTLE ROCK, AR - Arkansas officials are considering loaning $80 million to the state's student loan because the agency says the sagging economy has jeopardized its ability to lend money to college students.

The state board of finance will consider the proposed loan to the Arkansas Student Loan Authority at an emergency meeting tomorrow, called by Governor Beebe.  The finance board is the investment arm of the state treasurer's office.

The loan money would come from funds from the state treasury that the state would normally invest in banks.  Loan authority director Tony Williams says the agency asked the state for the money because of current difficulty selling bonds to pay for the student loans.

(Copyright 2008 by The Associated Press.  All Rights Reserved.)

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