J.P. Morgan Chase & Co. (JPM) as of July 1 will no longer offer student loans to people without an existing financial relationship with the bank, according to reports.
Bloomberg News said J.P. Morgan's student loan portfolio was $13.4 billion at Dec. 31. The bank's student lending pace has declined sharply in the recent years and bad debts have increased, according to the report Tuesday.
In an email to Huffington Post, a J.P. Morgan spokesman on Tuesday said "we have decided to focus on providing private student loans only to current Chase customers as the private student loan market has continued to decline and government programs have expanded to help more students and their families."
An earlier American Banker report also said U.S. Bancorp (USB) is exiting the private student lending business.
Full story at http://www.huffingtonpost.com/2012/04/10/jpmorgan-chase-student-loan-market_n_1412654.html
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