Bank of America Bailing on FFEL Student Loans

According to a Reuters report, Bank of America is bailing on the FFEL program. According to the Reuters article, this represented $4.8 billion in loans in 2008, making Bank of America the fourth largest FFEL lender in the country.

Bank of America's decision to exit the student loan business apparently comes ahead of the Obama administration's plan to focus its efforts on direct lending.