Another big push over the first 100 hours

In an overwhelming 356 to 71 vote yesterday, the House approved a bill to slash interest rates on federal student loans, a measure that could save students over $2,000 by the end of their loan. But don’t celebrate just yet. The bill won’t go into full effect until 2011, when it will expire unless renewed by Congress. The pricey legislation will also pose a challenge for the Democrats’ pay-as-you-go pledge.

Senator Edward Kennedy plans to consider the measure as a part of broader legislation to handle rising higher education costs. However, the Senate has not yet voted on the bill and President Bush vocally opposes it. The White House released a statement Tuesday warning that the bill would increase student borrowing: “encouraging more student debt can also fuel today’s upward tuition spiral.” Can’t fight that logic.

According to Democratic estimates, the plan could nearly double the $2,300 in savings for borrowers if the cut becomes perminant. Time, however, will tell.

Posted by Eric Mittereder

One Comment on “Another big push over the first 100 hours

  1. I’m afraid the Democrats opposition to President Bush’s irrresponsible spending is going to bite them in the butt. The leftys have to look responsible, so they may choose not to pursue what their guts tell them to: slashing college education costs and healthcare fees, among other liberal goals. I hope the focus on frugalness doesn’t compromise the Dems’ agenda. Damnit, maybe they shouda praised Bush’s expensive budgets.

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