Reed works to keep college student loans affordable
Sen. Jack Reed is pushing a plan in Congress to ease the financial burden of loans for college students. Under legislation introduced by the Rhode Island Democrat, student loan interest rates would be limited to an interest rate of 3.4 percent. In the absence of Congressional action, that rate would increase to 6.8 percent on July 1.
That increase could mean a hike of $5,200 over a decade for some borrowers who rely on student loans to finance their education.
Reed’s bill is identical to a measure introduced in the House by U.S. Rep. Joe Courtney, D_Conn.
Rhode Island college graduates have the 9th highest student loan debt total in the U.S., Reed said in a news release.
“Making student loans more affordable will help families save and expand employment opportunities for more college graduates,’’ said Reed. “Congress needs to prevent this rate hike to keep millions of Americans from being crushed by student debt.’’