News

Student loan rates double without Congress’ action

Student loan rates double without Congress’ action

WASHINGTON (AP) — Interest rates on some new federally backed loans for college students are now double what they were last week.

student-loan-chartSubsidized Stafford loan interest rates went to 6.8 percent on Monday because Congress didn’t strike a deal to keep them low. That translates to an extra $2,600 per student in costs. It affects roughly a quarter of all federal borrowers.

The effects aren’t immediate, though. That’s because most students sign their loan documents when they return to campus in the fall.

Lawmakers say they can return the interest rates to 3.4 percent when they return after the July 4 holiday.

The Republican-led House passed a bill before leaving town that linked student loan interest rates to the financial markets. The Democratic-led Senate, however, was unable to overcome a procedural hurdle.

Recent Headlines

today in Local

Weiland Finishes Statewide Tour

Rick Weiland 311 41516

South Dakota democratic Senate candidate Rick Weiland made a stop in Hudson yesterday, making it the final stop in his statewide tour.

today in Local

Missing Girls’ Deaths An Accident

cold case news conf 41514

The over forty year old case of two missing Vermillion girls has been closed.

today in Local

Fewer Deer Being Donated

deer buck

The number of deer donated to an Iowa Department of Natural Resources program that uses the meat to feed the hungry in the state dropped by 15-percent this year.

today in Local

“Hush Money” Investigated

Iowa state capital

Two top managers in the Iowa Department of Administrative Services testified before legislators for nearly two hours Monday afternoon.

today in Local

Heineman Considers Prison Reform Bill

prison

Nebraska Governor Dave Heineman says he hasn't had time to thoroughly consider the prison reform bill sent to him by the legislature, but says Nebraska needs to do whatever it can to avoid building a new prison.