Student loan probe

Posted: 12.08.2008 at 3:00 PM

ALBANY, NEW YORK (AP) --

New York officials say the national association that writes and administers the SAT has resolved a two-state investigation into deceptive marketing of student loans. Officials say the College Board gave inappropriate discounts to colleges that promoted its services, effectively directing students to loans that were not their best or least expensive options. The not-for-profit settled with New York and Connecticut and will invest $675,000 to help students find the lowest-cost loan options. New York Attorney General Andrew Cuomo's office says the company gave the discounts on financial aid products and services to colleges that placed them on their preferred lender lists. A spokesman says the College Board is pleased with the settlement announced Monday.