Cheaper student loans after Senate deal, for now
July 19th, 2013
07:16 AM ET
9 months ago

Cheaper student loans after Senate deal, for now

Washington (CNNMoney) - A bipartisan deal on student loans announced by a group of senators Thursday will help students, but only in the short-term.

According to the deal, undergraduates taking out loans this fall will pay just 3.86% in interest on new loans for this school year - cheaper than the 6.8% interest rate that kicked in on July 1. The new rates would apply for loans taken out after July 1.

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Filed under: Congress • Education • Senate
soundoff (6 Responses)
  1. Rudy NYC

    Higher education is getting ridiculously expensive. Tuitions are rising 3x faster than inflation. When you sustain that pace for a couple decades you wind up with tuitions that cost $30-40k per semester. That's equivalent to purchasing two fully-loaded, mid-size sedans per year, and now do that for 4 years straight.

    The appalling words of Herman Cain keep echoing in my head. "If you're not rich by now, it's your own fault." If that's the case, then why are students attending schools? Why are middle class families still pushing for an American dream? Cain's telling us that the dream is dead and the game is over. I think he's right.

    July 19, 2013 08:12 am at 8:12 am |
  2. mary_kovacs

    I find it is wellcoming for students as they will have to pay half of the interest on loans than before.

    July 19, 2013 08:29 am at 8:29 am |
  3. Data Driven

    This is not the original deal that they were trying to pass a few months ago. No cap on rates. Republicans pulling Democrats hair back again.

    July 19, 2013 08:53 am at 8:53 am |
  4. Steveo

    @Rudy NYC
    The appalling words of Herman Cain keep echoing in my head. "If you're not rich by now, it's your own fault." If that's the case, then why are students attending schools? Why are middle class families still pushing for an American dream? Cain's telling us that the dream is dead and the game is over. I think he's right.
    ------------
    I am not going to defend Cain's words but I believe too many fail to take advantage of opportunity. The American dream is NOT dead and the game is NOT over, as long as folks take advantage of the opportunities before them and they stop leaning on the government to everything for them! That at-ittude kills the dream because now there is no incentive to do for yourself.

    July 19, 2013 09:14 am at 9:14 am |
  5. S.B. Stein

    Let's see if the House takes it up as is. If they pass it, then there is nothing to worry about.

    July 19, 2013 09:33 am at 9:33 am |
  6. Rudy NYC

    Steveo wrote:

    ... I am not going to defend Cain's words but I believe too many fail to take advantage of opportunity. The American dream is NOT dead and the game is NOT over, as long as folks take advantage of the opportunities before them, ...
    ---------------
    What opportunities? That's the key. What opportunities? People who succeeded used to give back. Nowadays, people who succeed kick the ladder away so that no one can follow. To make a long story short, it's called greed. Greed now rules the day. The old story about living a modest, honest life, working hard and you will be rewarded is now fiction.

    July 19, 2013 09:40 am at 9:40 am |