Federal Interest Rate on Loans
Tue June 18, 2013
College Students & Loan Debt
On average, college graduates rack up more than $26,000 in student loan debt by the time they’re out of school, and if Congress fails to act, the federal interest rate on those loans will double July 1st.
To try and get their message across to lawmakers, Virginia Young Democrats and student leaders from Old Dominion University and George Mason University are asking Congressmen Frank Wolf and Scott Rigell to stop the rate hike from happening.
Jim Lewis is a College of William and Mary graduate. He has to work a second job on the weekends to help pay off his $25,000 dollars in loans. . .and that could increase to $70,000 with graduate school.
U. S. Senator Tim Kaine introduced a proposal last month that would extend the current interest rates for 2 years. If it’s passed, it would save students more than $169 million dollars nationwide.
Virginia Education Association President Meg Gruber says the new interest rates will make even harder for those choosing education as a career.