U.S. Congressman Mike McIntyre has co-sponsored legislation to prevent interest rates on Stafford student loans from doubling this summer for nearly 7.5 million students nationwide and 160,018 in North Carolina. An increased interest payment of 6.8% would cost the North Carolina students an extra $127,346,634.
Congressman McIntyre stated, “We must do all we can to stop this rate increase! In 2010, graduates who took out loans left college owing an average of more than $25,000, and student loan debt has now surpassed credit card debt for the first time ever. This important legislation will lighten the burden of student loans on our college graduates and their families. Let’s work together and get this done on behalf of our next generation!”
Without Congressional action, interest rates will increase from 3.4 percent to 6.8 percent on July 1st, costing American students and their families thousands of dollars over time.
As the cost of college rises, students and their families increasingly rely on student loans to help finance their postsecondary education. While many students are able to repay their loans, some struggle with managing monthly loan payments, especially at the beginning of their careers and during difficult economic times.