Despite its best intentions, the Obama Administration may have taken one step forward and two steps back when it comes to student loans, but the shifting sands on which the president's well-intentioned promises were built may provide a solid foundation for the growing private student loan industry, several student loan experts speculated.

On March 10, President Obama signed the Student Aid Bill of Rights, which was designed to provide greater access to a college education paired with a more economical approach to college financing. The bill directed federal agencies to take the necessary steps to make college more affordable and better protect student borrowers from unscrupulous lenders and usurious loan rates.

The future may be less bright, however, in light of earlier promises for student loan forgiveness. The federal budget, released in February, projected a $21 billion shortfall for federal student loan programs due to greater-than-anticipated borrower demand, which is likely to lead to reductions in relief funds available, especially for undergraduate borrowers.