WASHINGTON May 19 The U.S. Education Department
said on Friday it was changing its approach to student-loan
servicing, awarding a contract to handle outstanding debts to
Under former President Barack Obama, much of the $1.3
trillion business of student lending was moved from banks and
other companies to the federal government. Four companies still
handled servicing the loans.
"We're confident that the final decision will have someone
who steps up and can perform," Acting Undersecretary Jim Manning
said on a call with reporters.
(Reporting by Lisa Lambert; Editing by Jonathan Oatis)