As college students prepare to take out federal loans for school, Congress will decide how much interest they'll be paying. The interest rate on the popular Stafford loans is set to double in July unless lawmakers take action. The outcome will affect about 365-thousand Illinois students. John White, Deputy Assistant Secretary at the Education Department, says it could have a big impact:
"Just about every job you can think of requires some sort of post secondary education at the community college, the trade school or industry certification. If the expense doubles or becomes a barrier, fewer and fewer youth and adults are going to be able to get the skills they need."
Doubling the interest rate would mean the average student pays over one thousand dollars more to borrow. Negotiations are taking place in Congress. Keeping interest rates lower would carry a six billion dollar price tag for the government. Disagreement remains over how to pay the difference.
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