The rise of private loan originators for education loans is largely to due with 1) reduced availability of assistance programs (esp. state run ones) and 2) fede

The rise of private loan originators for education loans is largely to due with 1) reduced availability of assistance programs (esp. state run ones) and 2) federal guarantee to private loan originators of payment if a borrower is unable to repay. OP is mistaken about publicly originated loans and assistance programs, those have been under constant political attack for some time and haven't changed much outside of payout amounts, interest rates, and number of loans made.