Show Greater Access To Education Funds The Utah State Board of Higher Education today announced announced announced an an- that final steps have been taken to increase access to the State funds set aside by the Legislature for guaranteed guaranteed guaranteed guar guar- student Loans S. S BERTELL Bunker Associate Associate Associate As As- Commissioner for Business Bus Eus- Business ine iness iness s Affairs for the Utah System of Higher Education said that a ruling by the Utah Attorney Generals General's office office of of- fice Tice had opened a new avenue to Utah lending institutions in using the federal program A lending institution now has a choice of two alternative alternative alternative tive approaches to the student loan funds They may borrow directly from the State Board of Higher Education SUCH A loan is secured by bya a pledge of a third one-third interest interest interest in in- terest in the guaranteed student student student stu stu- stu- stu dent loan Or under the new ruling they may sell to the Board a third one-third interest in ini i I U t. Federal r guarantees guaran- guaran tees of loan principal and interest interest in in- terest apply to both plans OUR PURPOSE in making this change has been to encourage encourage encourage en en- courage wider participation in inthe inthe inthe the program and make more funds available for needy students Associate Commissioner Commissioner Commissioner Commis Commis- Bunker said Federal statutes limit the amount of debt a financial institution is permitted to carry The new purchase loan-purchase provision gives additional lending lending lending lend lend- ing power to the financial institution institution institution in in- without increasing its outstanding debt UP THROUGH the first of August some 68 Utah lending institutions had participated in inthe inthe inthe the student loan program They have made in excess of student loans at an average of nearly each This new procedure should help to make available additional additional additional ad ad- credit within the state without changing the secured secured secured se se- se- se cured position of the Board or overly increasing the pressures pressures pressures pres pres- on the lending institutions institutions institutions Bunker said THE LOANS are available to Utah residents attending accredited institutions within or outside of Utah This includes includes includes in in- the state technical colleges the junior colleges the state colleges and the universities Accredited private institutions institutions institutions like Brigham Young University Westminster College College College Col Col- lege and accredited business and trade schools also IN ITS action the Board recommended that the educational educational educational institutions make every effort to restrict the amount of loans to actual student needs in order to spread the available resources to more students Bunker said The Board also urged the participating institutions to discourage students from borrowing borrowing bor bor- rowing more than half of their necess necessary y educational expenses es and to encourage them tom to m maximize ize the pay as you go principle IT WAS pointed out that students can live comfortably in any Utah institution for less than the amount required in many parts of the United States and that the general principle of restraint should be applied to all student borrowers t. t |