Today, Congressman Joe Donnelly voted for the transportation and student loan conference report, keeping the need-based federal student loan rate at its current level, 3.4%, through July 30, 2013, therefore preventing the rate from doubling on July 1, 2012 .Taking action to stop the doubling of these rates will save more than 200,000 Hoosier students an average of $1,000 over the life of their loans.
"By keeping need-based student loans at their current level, we are supporting students who are the future the American workforce," said Donnelly. "Hoosier college graduates should not be burdened with unmanageable debt from their investment in their education. I am pleased Republicans and Democrats worked together help to better ensure the future competitiveness of our workforce and economy."
Donnelly has consistently voted to keep student loan interest rates low, initially voting in 2007 to cut the interest rate from 6.8% to 3.4%. He is also a co-sponsor of The Stop the Rate Hike Act of 2012, H.R. 4816, which would also prevent the need-based student loan interest rate from doubling for one year, until June 30, 2013, and offset it by eliminating certain tax breaks for big oil and gas companies.