Schools

Student Loan Rates Double Monday

Representatives Schneider, Schakowsky and Duckworth seek immediate action to reverse increase.

By Steve Sadin:

Interest rates on new federally subsidized student loans will double from 3.4 to 6.8 percent Monday unless Congress takes action to continue the one-year extension it passed in 2012, according to a spokesperson for Rep. Brad Schneider (D-Deerfield).

Schneider, Rep. Jan Schakowsky (D-Evanston) and Rep. Tammy Duckworth (D-Hoffman Estates) have signed a discharge petition in an effort to force the House of Representatives to vote on the measure before Monday.

Without action, students will take on an additional $3.7 billion in debt over the next ten years, according to Schakowsky.  She sees a negative impact on economic growth and job creation as well as helping people join the middle class.

Find out what's happening in Algonquin-Lake In The Hillswith free, real-time updates from Patch.

“Millions of students rely on student loans to make a college education affordable and they can't afford the burden of increased interest costs,” Schakowsky said. “Well-educated students are productive workers, grow the middle class and help expand our economy. Our students need access to more affordable student loans rather than increased student loan interest rates.”

Schneider, who has already introduced the America Work Act to enhance education directed at job training, feels more expensive loans will retard the ability of young people to become more skilled members of the workforce.

Find out what's happening in Algonquin-Lake In The Hillswith free, real-time updates from Patch.

“For far too many, college is increasingly becoming a dream beyond their reach,” Schneider said. “We need to work together to make higher education more affordable and accessible because only by enhancing our nation’s education opportunities will we maintain the best educated, most innovative and most productive workforce in the world.”

For Duckworth, affordable student loans are the ticket for people to reach the middle class. Without them, she sees fewer opportunities for the children of working class parents to attend college.

“We cannot allow talented young Americans to have their dreams thwarted because we have lost sight of our priorities,” Duckworth said. “We need to bring forth a common sense proposal and act now to prevent student loan interest rates from doubling on July 1.”



Get more local news delivered straight to your inbox. Sign up for free Patch newsletters and alerts.

We’ve removed the ability to reply as we work to make improvements. Learn more here