Dec 6, 2013
Student Loan Bill Stalls in Senate
Posted on May 8, 2012
Democratic legislation that would prevent student loan interest rates from doubling in July was blocked in the Senate by Republicans on Tuesday. The 52-45 vote fell short of the 60 needed to begin debate on the bill.
If Congress does not act before July 1, interest rates on subsidized Stafford loans will increase from 3.4 percent to 6.8 percent, affecting millions of college students.
Leadership on both sides of the political aisle accused the other of playing politics with the issue.
“While we don’t think young people should have to suffer any more than they already are as a result of this president’s failure to turn the economy around, we just disagree that we should pay for a fix by diverting $6 billion from Medicare and raising taxes on the very businesses we’re counting on to hire these young people,” said Senate Minority Leader Mitch McConnell, blaming Democrats for what he called a “manufactured controversy.”
“If they want some other way to pay for it, let’s take a look at it,” Senate Majority Leader Harry Reid said. “Let them offer that. The stakes in this debate are too high to let partisanship get in the way.” —TEB
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