On the recordSeptember 10, 1996
Today we are taking up the Student Debt Reduction Act of 1996. This bill will allow student loan lenders or any other interested party to pay the origination fees charged to students who borrow unsubsidized Stafford Loans. This practice is already allowed for subsidized Stafford Loans, but a Department of Education ruling has prohibited this benefit to students who borrow unsubsidized Stafford Loans. By enacting this bill, we are simply extending the same benefits to unsubsidized loan borrowers. It is rather timely that we should be considering this bill today, just as millions of students are making their way to college campuses all across the country. And as they make their way, we are all painfully aware of their growing concern about paying the bills for tuition, room and board, books and basic living necessities. This bill aims to ease some of that concern by getting more cash in the hands of students.
Source
govinfo.gov
