BISHOP SUPPORTS LOW STUDENT LOAN INTEREST RATES
WASHINGTON, D.C. – Today, Congressman Sanford D. Bishop, Jr. (GA-02) supported the bipartisan passage of H.R. 4348, the Moving Ahead for Progress in the 21st Century Act (MAP-21).
The legislation extends for one year (through July 1, 2013) the current 3.4 percent loan rate on need-based student loans. Under current law, the rate would have doubled to 6.8 percent on July 1, 2012. The vote was 373 to 52. The Senate also approved the legislation today by a vote of 74-19. President Obama is expected to sign the bill into law this afternoon.
"Millions of graduates in Georgia and around the United States are facing a challenging economic environment,” said Congressman Bishop. “I am pleased that the House finally acted in a bipartisan manner to provide them some relief and ensure that young Americans continue to have access to affordable post-secondary education.”
If Congress did not act, over seven million students would have seen their student loan interest rates double. In addition, every year Congress did not act would have cost a student borrower $1,000 in additional repayment costs and added $6.3 billion to students’ debt burden in one year alone. In Georgia, over 225,000 students currently receive federal financial aid for post-secondary education. The legislation approved by Congress today will save them $913 over the life of the loan.