> The vast majority of student loans are guaranteed by the federal government. The banks take zero risk on these loans Do you have a source for this? I can't c

> The vast majority of student loans are guaranteed by the federal government. The banks take zero risk on these loans Do you have a source for this? I can't confirm it. As an example, this description implies that the guarantee is for 97% of outstanding principal: https://www.nolo.com/legal-encyclopedia/what-is-federally-guaranteed-student-loan.html https://www.nolo.com/legal-encyclopedia/what-is-federally-gu... Assuming something close to that, the bank is out 3% of the principal, plus any accumulated interest-- which I would guess is usually substantial, because payments are typically deferred while the student is in school, but the bank's been paying the fed interest during that time period. So I don't have all the numbers, but on the face of it, it doesn't seem totally ridiculous that a secured loan like a mortgage would fetch a better rate than student loans that aren't fully guaranteed.