Republican Student Loan Bill: The Wrong Choice

We all agree; we need to take action to stop the interest rate on need-based student loans from doubling this July. But we should not ask women and children to shoulder the cost.

The Republican bill pays for students on the backs of women and children.  This is the wrong choice.   The Democratic bill pays for interest rate relief by ending tax subsidies for big oil companies.

Despite ignoring the problem for months and voting to let interest rates double in their budget, Republicans now say they want to do something. But they are taking from Peter to pay Peter.  

• Instead of closing loopholes on oil & gas companies, Republicans choose to take billions of dollars that would be used to improve the health of low-income and middle-income families to reduce student loan rates for low-income and middle-income college students.
• Republicans propose stripping away funding that would otherwise support CDC programs like childhood immunizations and screening programs for breast and cervical cancer and birth defects. The bottom line is women and kids will be hurt.

Republicans need to decide whether they are for or against our nation’s students once and for all.

• Washington Republicans voted for the Ryan Republican budget that lets interest rates double.  
• Some Republicans say they have ‘no tolerance’ for students with student loan debt.

• For that matter, Republicans voted against the Health Care reforms that have allowed millions of young people who are just out of college stay on their parents’ insurance as they look for jobs.
• Instead of working to prevent the doubling of interest rates, they have been busy trying to give the Paris Hiltons and Bain Capitals of the world a special tax break that increases the deficit.

?Democrats have been fighting for years to help our nation’s students.

• In 2007, it was the Democrats that cut the interest rate in half.  This has saved students real money. Millions of students have saved billions on college.
• Because of action by Democrats, today’s average graduating senior saved more than $2,000 in loan repayment costs.  Millions of students have saved more than $16 billion in loan repayment costs over the last four years, thanks to the Democratic reforms.
• In 2010, Democrats returned billions of dollars in bank subsidies and gave them to students in the form of higher Pell Grants, income-based repayment programs and loan forgiveness for those going into public service without a single Republican vote.

If Congress fails to take sensible action by July, the interest rate on need-based student loans will double for more than 7 million students; costing them $1,000 in additional repayment costs.