National Public Radio’s Morning Edition had this broadcast today: Credit crisis shakes confidence in student loans.

A snippet from the text piece:

With the economy in a downward spiral, lenders have been pulling out. Funding for new loans has dried up, and public confidence in the program seems shaky for the first time.

Since its creation in 1965, some experts in the banking industry have called the federal student loan program the most successful public-private partnership ever created. Until now. …

The federal student loan program may have averted a meltdown. But with 8.5 million students who need loans this fall, it’s likely that many will still be short of money for college. Warder says some students may just have to find cheaper schools.

“There are a lot of hard choices, and if you can’t afford a Cadillac you buy a Chevrolet,” he says.

The story goes into some detail as to what happened this spring to the student loan market.

I posted a round-up of similar stories and some tips at the College financing 08-09 thread.