On Friday, Congressman Andrews voted to halt the increase of interest rates on federal student loans, keeping down the costs of a college education for students and their families. According to the White House, maintaining current interest rates will collectively save college students up to $7 billion and allow them to graduate with significantly less debt. Shortly after the vote, President Obama signed this bill into law.
Federal student loan interest rates were set to double from 3.4% to 6.8%, which would place an unnecessary financial burden on over seven million students already plagued by the high cost of tuition. New Jersey would have been struck particularly hard by this increase, as over 140,000 students are borrowers of Stafford Loans. However, by staving off this increase, New Jersey students will save an average of $982 over the life of their loans.
"By maintaining the current interest rates on federal student loans, more students will have the means to further their education, effectively laying the cornerstone of prosperity for the next generation," said Congressman Andrews. "This will not only help lessen the financial burden on working-class families, but also strengthen America's workforce by allowing our students to remain competitive in an increasingly globalized job market."
As a member of the Health, Education, Labor and Pensions sub-committee, Congressman Andrews continues to support the next generation of American workers. He remains strongly committed to aiding South Jersey students looking to pursue a college education.