U.S. Rep. Miller Supports Bill to Stall Interest Hike on Student Loans
The Interest Rate Reduction Act would freeze a scheduled rate increase on federal student loans but cut preventative health care programs to offset the freeze's cost.
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U.S. Rep. Candice Miller (MI-10) supported the passage of a bill Friday that would prevent a scheduled interest rate increase on federal student loans by cutting a preventative health care program.
Miller was one of 215 House representatives to support the Interest Rate Reduction Act, which would preserve the rate on subsidized Stafford loans to undergraduate students by cutting the Prevention and Public Health Fund created in President Barack Obama's Affordable Care Act, according to The Huffington Post.
The interest rates are scheduled to increase to 6.8 percent on July 1, but IRRA would extend lower rates for an additional year. Under a 2007 statute, the 6.8 percent rates were phased down to 3.4 percent, but were set to return to their original rate if Congress did not act otherwise.
The White House has already said it would veto such legislation as the proposed bill would take money from health programs that fund services like cancer screening and child immunizations to offset the almost $6 billion a one-year rate freeze would cost.
House Democrats have said they would rather the fund the rate freeze by taking away subsidies for oil companies, according to MSNBC.com. This alternative was blocked in the House.
In voicing her support of IRRA, Miller said:
“Every young American who works hard and studies hard deserves a shot at the American Dream, but unfortunately today more than 53 percent of young Americans under age 25 with a college degree are unemployed or under-employed working in a job that does not take advantage of their education."
Miller added her belief that the passage of H.R.4628 will “help young people to be better able to afford to pay back their loans,” while not distracting the country from creating an economy “that gives them the chance to apply the knowledge they worked so hard to learn.”
The bill now heads to the U.S. Senate for consideration. The Senate is expected to introduce its version of the bill next month.
jholeton jr
9:17 am on Saturday, April 28, 2012
In order for students under the age of 25 to gain employment, there must first be jobs made available. As long as Americans continue to purchase foreign manufactured goods, corporations will not have an incentive to keep those jobs in this country. Its simply capitalism and they (american corporations) are going where the "easy" profits are made. Therefore, if you want your college educated child to have a job, buy only "MADE IN MICHIGAN" products. This is the first step towards employing these youths that will have substantial effect. I always have and always will buy "MADE IN MICHIGAN" goods because some of my best friends are Michigan farmers. Demand that your local grocery store provide more of these products today!!
Once the under 25 year olds have steady and SECURE employment, we can then figure out how to maintain a low interest rate on these student loans. Until then, we should focus on physically getting these jobs back into the country. You cant pay back anything without a job that you cant make enough to live on.
jholeton jr
9:19 am on Saturday, April 28, 2012
cant = can Sorry for typo.
kidcat24
11:19 am on Saturday, April 28, 2012
jholeton jr, I just wrote Kroger yesterday to tell them I was pleasantly surprised to find Made in the U.S.A. plastic-ware that was also BPA free. I purchased them immediately. I also recommended other Made in the U.S.A. products. I wish people would read labels more.
kidcat24
11:22 am on Saturday, April 28, 2012
While Oil companies post record profits and Oil was our number 1 export in 2011 why can't we cut the subsidies to them. They aren't even keeping all their oil in the United States.
jholeton jr
11:33 am on Saturday, April 28, 2012
Thank you kidcat24. Please tell your friends and family to do the same. Michigan is bleeding for jobs which are being sent overseas. Law firms and other white collar businesses out-source their clerical work via email to foreign countries like India. When your college graduate 24 year old cannot find a job, this is why. Buy "Made In Michigan" products & lets take back this country. It begins with everyone taking this initial step. Meijers just started a aisle of "Made In Michigan" goods, please start buying today!!
kidcat24
9:17 am on Sunday, April 29, 2012
Yes, I saw Meijer's Michigan section. I haven't been to Meijers in a while I hope it's a bigger section than last time I was there.
jholeton jr
11:27 am on Sunday, April 29, 2012
The more people buy "Made in Michigan" goods the larger that aisle will become. By buying these products, youve done more to fix the economy than most of the politicians in Washington D.C.. Please consider yourself a job creator who just brightened the future of a 24 year old college graduate.
Matt Guarnieri
3:56 pm on Sunday, April 29, 2012
I just saw where larger "Element" flat screen TV's are assembled in Canton, MI. It's a beginning of a return to Michigan manufacturing.
jholeton jr
4:56 pm on Sunday, April 29, 2012
I only wish this was happening back in 2008.The "Made In Michigan" philosophy has taken way too long to impliment. Buy American and bring those jobs back. Invest in your childrens future before its too late.
teacherpreacher
7:45 pm on Sunday, April 29, 2012
Thank you! My student loans will be outrageous if the interest rate goes up!
Liz Davis
9:04 am on Wednesday, August 1, 2012
If the interest rate on student loans will continue to grow many people might not afford to have this type of loan due to expensiveness. And if they do have applied, they might end up getting a problem in repaying it.
Liz, http://lizloans.com
johnmartin
10:05 am on Thursday, October 25, 2012
This is really good news that U.S. Rep. Candice Miller (MI-10) has supported the passage of a bill Friday that would prevent a scheduled interest rate increase on federal student loans.
http://www.paydayau.com.au
Teena Reed
8:04 am on Thursday, November 8, 2012
I think that the interest rate should be increased as students loan consumers are already in problem. The rate of interest for student must be reduced so that student can repay their loans on time easily.
http://www.paydaydirect.co.uk
SharonP
9:03 am on Thursday, November 8, 2012
How much would the average student loan increase per year?
I would be willing to pay a few hundred extra a year if it meant young people can receive preventative medicine. I can't afford to. My family has over $50,000 in outstanding student debt. I have degree from a top University and the only job I can find is working in a restaurant (I was once middle-class). And yet, I am willing to pay whatever tax increase was previously agreed upon by our leaders. I don't need to save $100 so badly that I want to see medicine taken away from sick people.