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Missouri student loan agency selling off $750 million worth of loans

By AP/KWMU

Jefferson City, Mo. – Missouri's student loan agency says it is selling about $750 million worth of loans to help fund Governor Blunt's college construction plan.

Many of the loans have been sold to private lender Sallie Mae.

But the Mississippi Higher Education Assistance Corporation also submitted the best bid for a portion of the portfolio.

The profits from the loan sales have been combined with other agency funds to form a $175 million pool of money that could be transferred to the state.

An agreement between the Missouri Higher Education Loan Authority and Blunt's administration calls for $350 million to be transferred for college projects over six years.

That proposed transfer still needs legislative approval to go forward.

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