07.08.13

GOP Student Loan Bill Harmful to Students, Totally Irresponsible

Washington, DC -  U.S. Rep. George Miller (D-Calif.), the senior Democrat on the House Education and the Workforce Committee, released the following statement today as congressional Republicans’ refuse to act to reverse the doubling of student loan interest rates. Interest rates on need-based student loans doubled last week from 3.4 percent to 6.8 percent due to Republican obstruction. This rate increase will cost more than 7.2 million students an additional $1,000 per loan.

“Once again, House Republicans are out of touch with reality. The Republican bill that passed the House is harmful to students and totally irresponsible. The independent Congressional Research Service confirmed that the Republican passed bill will cost the average student thousands of dollars more in interest charges during the next five years than letting interest rates double.  Instead of lowering student debt, their proposal makes college more expensive.  So far, Senate and House Republicans have blocked any solution that provides debt relief for students and have insisted that any final deal must increase student debt to pay down the deficit.  This is unacceptable.

“In this economy, we have to make tough choices; but time and time again, Republicans are choosing to make those choices on the backs of middle-class families and students. House Democrats are doing everything we can to stand up for America’s students and families. The Democratic alternative, the Keep Student Loans Affordable Act, keeps interest rates low for another year while Congress works to find a long-term solution. Every Democratic committee member has signed the petition to bring this urgent bill up for a vote. It’s time Republicans correct their mistake and reverse course on allowing rates to double. Our students and families deserve nothing less.”