A survey shows that one in five bankers is studying whether to continue making students loans, as the advent of direct lending by the government threatens volume-driven profits.

The Consumer Bankers Association found that 22% of the banks now participating in the Federal Family Education Loan program are evaluating whether they will continue to participate. So far, only one of the 53 banks surveyed said it had quit making the loans.

Limited Time Offer

Save $400 off your subscription. Special offer ends April 30, 2017.

14-Day Free Trial

No credit card required. Complete access to articles, breaking news and industry data.