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 Sports

NFL ‘on track’ to field London team

Fresh
nfl

The NFL plans to field a team in London and could have a franchise there by 2022.

in National

Travelers quarantined as U.S. steps up Ebola checks

Fresh
ebola

The U.S. has started new restrictions on those coming from the countries hardest hit by the deadly virus.

in Lifestyle

Online harassment commonplace among adults

ComputerHands_620

It's something anyone who has ever been online knows: the Internet can be a rough place.

in National

Sears to close stores, lay off thousands of employees

sears

Sears will lay off at least 5,457 employees and close more than 100 stores, many before Christmas.

in Sports

Thursday’s Sports Minute

sanfran

A look at the big sports stories you'll be talking about today, Thursday, Oct. 23.