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Bennett Proposes Measure To Cut Student-Loan Defaults

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WASHINGTON--Secretary of Education William J. Bennett last week sent to the Congress proposed legislation that seeks to cut student-loan defaults by tightening eligibility requirements, increasing information collection, and making lenders assume some of the financial risk.

The proposal would also require postsecondary institutions to submit "accountability plans'' for measuring student achievement, and would make funding for campus-based aid programs, such as work-study, dependent on meeting the plans' goals.

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