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The U.S. Government's $800 Billion Gamble on Student Loans
The U.S. currently makes a small profit on the loans it extends to students
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One of the big potential costs to U.S. taxpayers over the next years is an enterprise that's currently estimated to be even a bit profitable for them: financing student loans.
Right now, the federal government borrows money at interest rates that are lower than the rates it charges students. That means the U.S. makes about 14 cents on every dollar lent, according to the Congressional Budget Office.