Federal student loans spike
POSTED: Tuesday, July 2, 2013 - 3:40pm
UPDATED: Wednesday, July 3, 2013 - 7:15am
EDINBURG, TX (KVEO NEWS CENTER 23) — Federal loans for college students just got more expensive Monday, way more expensive.
For one student, he says, "It's going to be a lot harder for me to pay and a lot of people I know."
Partisan squabbling in congress resulted in a doubling of interest rates for Subsidized Stafford loans, which account for about a quarter of all federal borrowing, thosese rates soared from 3.4%percent to 6.8% this spike is expected to impact 7 million American students, including many in the RGV.
Marimar Medina is a student at UTPA, she wants to be a dentis and says she'll get her education, regardless of the price. "If I needed the money, just keep on going."
It was congress that created this problem for students and now it's up to congress to fix it.
They will reconvene after the July 4th break to consider reversing that hike, and restoring rates to their earlier levels.