Exhibit 99.1

Media Contact: Sheila Odom, 402.458.2329
Investor Contact: Cheryl Watson, 317.469.2064

For immediate release

GAO issues report on Federal Family Education Loan Program

(Lincoln, NE) - Nelnet (NYSE: NNI) announced on September 21, 2004, the U.S.
Government Accountability Office (GAO) issued a Report to Congressional
Requesters titled "Federal Family Education Loan Program: Statutory and
Regulatory Changes Could Avert Billions in Unnecessary Federal Subsidy
Payments."

In the report, the GAO recommended that Congress should consider amending the
Higher Education Act to address the issues identified by the GAO report, but
particularly to change the yield for loans made or purchased in the future with
the proceeds of pre-October 1, 1993 tax-exempt bonds, and any associated
refunding bonds, to more closely reflect the loans' financing costs and current
market interest rates. The report also recommended the Secretary of Education
promulgate regulations to discontinue the payment of the special allowance
applicable to loans financed with pre-October 1, 1993 tax-exempt bonds that are
subsequently transferred to taxable bonds or tax-exempt bonds issued on or after
October 1, 1993.

The College Access and Opportunities Act of 2004, introduced on May 5, 2004 by
Congressmen John Boehner and Howard P. "Buck" McKeon, includes provisions
related to the elimination of the 9.5% special allowance floor referenced in the
GAO report. "Nelnet has supported the proposed legislation since its
introduction," commented Don Bouc, President of Nelnet and the company's chief
spokesperson. Mr. Bouc added, "The proposed legislation would use the resulting
savings to increase access and opportunity for millions of students across the
country."

In addition to the College Access and Opportunities Act, other legislation has
been introduced related to the 9.5% special allowance payments. Nelnet cannot
predict what actions, if any, Congress or the Department of Education may take
in response to the GAO report, various proposed legislative initiatives or
otherwise. Future actions, if any, taken by Congress or the Department of
Education with respect to the applicability of the minimum 9.5% yield may have a
material adverse effect on Nelnet's financial condition and results of
operations.

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Nelnet is one of the leading education finance companies in the United States
and is focused on providing quality student loan products and services to
students and schools nationwide. With over $13 billion in total assets, Nelnet
originates in excess of $3 billion for itself and its service partners annually,
and its servicing software is used by approximately 35 clients, including
Nelnet, to service nearly $50 billion in student loans. Nelnet ranks among the
nation's leaders in terms of total student loan assets.



Nelnet offers a broad range of student loan and financial services and
technology-based products, including student loan origination and lending,
guarantee servicing, and a suite of software solutions. Our products are
designed to simplify the student loan process by automating financial aid
delivery, loan processing, and funds disbursement. Our services help to
facilitate and streamline education finance for all involved in the industry,
including student and parent borrowers, lenders, financial aid officers,
guaranty agencies, governmental agencies, servicers, and the capital markets.