A Senate bill that sought to freeze student loan interest rates for another year failed today. Though it was backed by the White House and most Democrats, others pushed for compromises that are worse than doing nothing.
A bipartisan Senate proposal and another passed by House Republicans would tie interest rates to Treasury Bonds, meaning they could rise above the current 6.8% rate. Though Republicans claim their bill is in line with Obama’s budget proposal, this isn’t true. Obama’s plan would lock in interest rates when loans are created, and the GOP bill would reset them every year.
Neither compromise does enough to help students get beyond the heavy burden of debt they’ve been carrying far too long. They don’t do anything to solve long-term higher education costs either
Tell the Senate US citizens deserve access to affordable higher education. Insist they freeze the rates at 3.4%!