Student Loans

CBO: Student Loan 'Fix' Would Add $22 Billion to Deficit

Sounds like the federal government at work

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Negotiators trying to find an elusive fix to the student loan rate issue are working overtime to reach a solution that wouldn't increase the federal deficit by billions of dollars.

The Congressional Budget Office told a bipartisan group of senators working on a deal that their plan to reform all student loan rates would increase the deficit by $22 billion. So with a goal of finding something that neither cuts the deficit or requires new revenues, staff for the senators are submitting alternative plans based on the framework of that deal to the CBO, two Democratic Senate sources confirmed.