Grant college loans of majors where there is an actual need for the prosperity of the country. Where after graduation there are actual job openings that allow the graduate to become employed and pay back the loan using the education they received.
There should be a vetting process for student loans similar to vetting for mortgages. What is the major? Are you applying to a state school or a private school? Can you get a similar education at a public, in-state school? The amount loaned will be based on these criteria. Some majors will have zero allotment for student loans. Loan amounts for private schools will not exceed public schools.