Deals with banks stack millions in fees on college students

U.S. student debt tops $1 trillion, according to the Consumer Financial Protection Bureau.

It took Mario Parker-Milligan less than a semester to decide that he was paying too many fees to Higher One, the company hired by his college to pay out students’ financial aid on debit cards.

Four years after he opted out, his classmates still face more than a dozen fees — for replacement cards, for using the cards as all-purpose debit cards, for using an ATM other than the two on-campus kiosks owned by Higher One.

“They sold it as a faster, cheaper way for the college to get students their money,” said Parker-Milligan, 23, student body president at Lane Community College in Eugene, Ore. “It may be cheaper for the college, but it’s not cheaper for the students.”…Read More