Mortgage Crisis and Student Loans...

The mounting credit woes of investors are now affecting the ability of banks and student loan institutions to lend.   According to the Federal Reserve, the percentage of banks reporting tighter lending standards is reaching historic highs.   College students say the loans that are available have a list of qualifications that keep them out of reach for the students who need them the most.   "Most banks are saying they can't make money making student loans, or can't even break even," said Stephen Clinton with the Indiana Secondary Market for Education Loans.   Lenders say the sub-prime mortgage crisis is partly to blame.   Also, lenders are blaming the problem partly on the federal government which over the past two years has pulled $38 billion in student loan subsidies, which was money that allowed lenders to offer loans at rates students could afford, and still allow a profit for the lender.   "We can't let a generation of students not go to college," Clinton said, adding that he thinks Congress has to do something. He says that without loans, college is out of the question for thousands of students.