Student Loans

Senate Doesn't Take Up Bills to Stop Student Loan Rate Increase

Set to double come July

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The Senate on Thursday failed to take up two separate bills that would have lowered the interest rate on subsidized student loans, now set to double on July 1 to 6.8%.

Some 7 million undergraduates may have to dig deeper in their pockets when they pay off the loans upon graduation, if Congress can't come to a deal.

If this sounds familiar, it is. Last year, facing a July 1 deadline, Congress put off any tough decisions and kept rates the same.

This time, the White House and Congress agree that something should be done, but they don't agree on what.