On the recordMay 7, 2012
I can't emphasize strongly enough the importance and the urgency of the legislation before us--the Stop the Student Loan Interest Rate Hike Act of 2012--which the majority leader spoke about. On July 1, unless Congress intervenes, the interest rate on Federal student loan debt is set to double from 3.4 percent to 6.8 percent. More than 7.4 million American students, including an estimated 255,000 students enrolled in Iowa colleges and universities, will be required to pay an average of $1,000 more per year of school. The bill before us is straightforward and it is fully paid for. It keeps the interest rate at 3.4 percent, and the cost is offset by closing a tax loophole that benefits certain high-income professional service providers. I wish to thank Senator Reid for his leadership in advancing this critical legislation. I also thank President Obama for making this legislation an urgent priority and for visiting college campuses across the country to speak out on this urgent problem facing our Nation's students and their families. In today's global knowledge-based economy, an education beyond high school is no longer an option but a necessity. A worker with a bachelor's degree earns 85 percent more, on average, than a high school graduate. Almost two-thirds of the job vacancies between now and 2018 will require some postsecondary education, and more than half of those jobs will require at least a bachelor's degree.…
