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

in Local

Petition Effort To Restore Death Penalty Completed

vote

A referendum petition drive far exceeded the number of signatures needed to keep the repeal of the death penalty from taking effect...and to force a vote on the issue.

in Local

Authorities Seek To Control Mussels

zebra mussel

Now that growing numbers of zebra mussels have been confirmed in Lewis & Clark Lake, the focus changes to slowing the spread of the invasive animal.

in Local

South Dakota Students Above Average

education 2

A.C.T. scores from last spring’s testing have been released by the South Dakota Department of Education, and the states students continue to score above the national average.

in Local

School Districts Seek Additonal Funding

College Money Student

A record number of Minnesota school districts -- 66 at last count -- are asking voters to increase property taxes this year so they can construct new buildings.

in Local

Event To Prepare Meals

grocery bag

A volunteer effort billed as "the nation's largest food packaging event" kicks-off today in Des Moines.