In 2005, eBay's founder gave Tufts University $100-million dollars with an unusual stipulation: The money was to be invested in the burgeoning field of microfinance and used to provide small-business loans and other financial services to poor people around the world. The university would make money if the investments were profitable. The author…

Congress passed legislation last week that would shield students and other consumers from sudden spikes in interest rates and fees, but that could make it harder for young people to access credit to pay for college. The legislation would extend broad new consumer protections to all credit-card holders, offering special protections to college…

One does not need to be an expert on student aid to recognize that the current loan system is complex, sometimes inefficient, and highly politicized. When it comes to financing a college education, there is no "one-stop shopping." Students and their parents have a multitude of lenders to choose from, including federal and state governments and…

When the stock market plunged 778 points last week, losing almost 9% of its value in one day, higher education responded in an uncharacteristic way: It began to buckle. Colleges have often considered themselves recession-proof. However, last week's events compounded an already difficult year for many institutions, which have suffered from…

This article reports on Wachovia Bank's move in freezing the accounts of nearly 1,000 colleges that invest through Commonfund, leaving them unable to reach billions of dollars they depend on for salaries, construction, and debt payments. The move could cause other ripples, as Moody's Investors Service announced it would review the credit impact of…

Dozens of colleges and universities, including some of the country's wealthiest institutions, are facing a sharp rise in interest payments on a whopping mound of debt. About a third of the nearly 300 private institutions rated by Moody's Investors Service are financing more than half their debt with variable-rate bonds, some of whose rates have…

The student-loan industry seems to have broken new ground, which raises a red flag after the recent investigation of the private-loan industry by Andrew M. Cuomo, New York State's attorney general. Last June "The Chronicle" reported that in Cuomo's testimony before Congress, he compared the industry to the Wild West, characterizing it as a bastion…

This article reports that advocates of state-sponsored college-savings plans seek to use the current credit crunch as a wake-up call for parents and policy makers to shift away from the growing use of loans by families to cover college costs. In the long run, savings are the best way for most families to avoid the burdensome costs of private…

Many public-university administrators are watching from the sidelines as the nation's credit markets seize up, trying to assess the impact on universities' and state bonding agencies' ability to issue debt. Already, California and Massachusetts have asked for federal help to cope with bills because municipal-bond markets remain largely closed.…

Someday students seeking a college loan might go to a Web site, fill out a brief questionnaire, and get connected to the lender with the best possible rate. Such a system would bring cheer to students seeking straight answers, lenders seeking fair competition, and colleges seeking relief from investigations led by Attorney General Andrew M. Cuomo…

Many college presidents get a load of freebies--big house, nice car, fancy meals, country-club membership. The perks help them perform official duties, like holding college functions at home and courting donors on the golf course. Since many of their living expenses are taken care of, they have cash to spare. The median compensation, including…

The rate at which borrowers default on their federally guaranteed student loans has declined to 4.6 percent, in part because of a record number of consolidations, the Education Department announced last week. "Borrowers took advantage of the opportunity to lock in record-low interest rates by consolidating their federal student loans," the…

For several months, the subprime-mortgage crisis has hovered over colleges, its ultimate effects uncertain. That is changing. In the past few weeks, a series of loan companies have withdrawn from broad categories of student lending, and some colleges have acknowledged sharp increases in borrowing costs. The most severe effect may be still to come,…

An informal survey of some New England colleges indicates that, in response to problems in the region's banking industry, school financial officers are monitoring their banks' credit ratings and managing investments more carefully. Consultants and investment advisors are also reporting increased anxiety among college officers and trustees around…

Faculty unions are enticing new members and hoping to retain older ones with such extras as low-cost credit cards and insurance programs in addition to traditional collective bargaining functions. (MSE)