Student Loan Interest Rate Hike Fight Bubbles Up In Congress
Posted: 03/21/2012 7:19 pm Updated: 03/21/2012 7:22 pm
Spencer Pritchard, a first-year political economics student at University of California, Berkeley, has less control over his professional career than he'd like. That's because a major decision that will affect his life is in the hands of a body that's not always known for decision-making: Congress.
This July, unless Congress intervenes, Pritchard likely will owe $4,000 more than he would have in student debt upon graduation. That's because a 2007 law that kept federally subsidized Stafford loan interest rates low will expire this summer, leaving the rates to double from 3.4 to 6.8 percent. Pritchard already expected to owe $30,000, but an extra $4,000 might enough to necessitate a career change.
"I might have to take jobs that pay more instead of