Fitch - U.S. college costs rise, private loans to remain low

WASHINGTON Wed Jan 30, 2013 10:54am EST

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WASHINGTON Jan 30 (Reuters) - Tuition and enrollment levels will likely continue rising this year at colleges across the United States, and private student lending will struggle to keep up with the growing demand, Fitch Ratings said on Wednesday.

Private loan origination volumes will increase modestly but still remain low due to the exits of several large lenders, the agency said. It added that other factors such as static federal loan limits and legislative proposals to change the dischargeability of private student loans will make credit less available.

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