Stearns Joins House in Approving Redcution in Interest Rate on Guaranteed Student Loans

STEARNS JOINS HOUSE IN APPROVING REDUCTION IN INTEREST RATE ON GUARANTEED STUDENT LOANS

"College costs continue to spiral upward, taking a higher education beyond the financial means of more students and their families," said Rep. Cliff Stearns (R-Ocala). "Although I support this legislation reducing the interest rate on college loans, we missed an opportunity to improve this bill. This bill does not make a college education more affordable, it will merely lower the interest payments for those who have received their education; it will not increase the number of students attending college. Congress should focus on making an education more affordable and more available. In addition, this reduction to 3.4 percent is only effective for six months, from July 2011 to January 2012."

The House today approved H.R. 5, the College Student Relief Act, that reduces the interest rate on government-guaranteed student loans to 3.4 percent. Explained Stearns, "I represent the University of Florida and vital community colleges, and I am committed to making higher education more affordable. In the past 10 years, Congress has increased its commitment to student aid by 300 percent, now up to $90 billion. I regret that the House leadership would not allow us to improve this bill by calling for information on retention rates and greater transparency from the colleges on why costs are rising."

http://www.house.gov/stearns/PressReleases/PR2007Releases/pr-070117-StudentLoans.html