Senators Close to Student Loan Deal

Would link rate of loans to that of treasury bonds

A bipartisan group of senators is close to reaching an agreement to stop student loan rates from doubling on July 1, aides said Thursday afternoon.

The legislation would represent a compromise between the plan pitched by President Barack Obama and Senate Republicans. It would link the rate of new loans to Treasury bonds and lock the rate in for the life of the loan — a key priority for the White House that was missing from a House Republican bill.

Senate Democratic leadership has not signed off yet on the deal and it's unclear when the proposal could get a vote with immigration legislation still waiting for a vote on the Senate floor.