No! The student loans are now federal loans.
Too bad you didn't read the article. Let me summarize: if the student files for bankruptcy and succeeds, the burden of the debt then gets transferred to the institution where the student attended. This would force the institution to think and invest in each student. As of right now, there is no risk to any place of "higher learning" because just about everybody can get a federally backed student loan. These places know this, and water down their curriculum and inflate grades which keeps the student firmly planted in their seat and the money rolling in.