The Senate voted to implement a major shakeup of the student loan industry Thursday, in a move that will lead to the most dramatic changes in the way college loans will be made since the Clinton era.
Under the proposal, all private lenders will be banned from originating student loans, with the federal Department of Education stepping in to become the sole provider of loans through a government-backed program.
The overhaul bill still needs to clear the U.S. House once more before it is sent to President Barack Obama for his expected signature. The House is scheduled to consider the bill later Thursday, and Democratic leaders have expressed confidence that it should be approved in that vote.
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