In March 2009, we reported on President Barack Obama's ongoing efforts to eliminate the Federal Family Education Loan Program (FEELP). Recall that there are two forms of college loan programs: FEELP, in which private lenders make and secure loans to students and receive subsidies from the federal government; and the William D. Ford Direct Loan Program, in which the federal government distributes the loans directly.

At the time, we rated the promise In the Works, since we wanted to see whether Congress would pass Obama's 2010 budget, which included measures to eliminate the private lender program by cutting subsidies to private banks.

Congress ultimately decided against cutting the program through the 2010 budget bill, but it was more forthcoming the second time around. On March 30, 2010, Obama signed legislation -- which was part of the health care bill -- that replaces the private lending program with 100 percent direct lending, effective July 1, 2010. The move would result in savings of $68 billion over the next 11 years, $36 billion of which would be used to expand Pell Grants, a federal program that helps low-income students pay for college.

Obama signed a bill to eliminate subsidies to private student lenders, with a big chunk of the money going to expand additional student aid programs.

Promise Kept.