Sunday, March 18, 2007

My Rich Uncle

Unlike, say, Sallie Mae--the Microsoft of private lending, with a portfolio of $11.5 billion in 2004--MRU doesn't rely on punitive (and lucrative) fees and penalties to keep margins up. The year-old firm's cofounders, Raza Khan, 28, and Vishal Garg, 28, are adopting the Google mantra: Don't be evil. Their proprietary software predicts student income based on transcripts, school, course of study, and other data; a business student with stellar grades might get a .25% reduction over a pottery student with a spotty record.

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