January 17, 2007
Contact: Robin Winchell (202) 225-4031
WASHINGTON,
DC- U.S. Rep. Charlie
Melancon voted to make college more affordable and accessible by cutting the
interest rate on subsidized student loans for undergraduates in half over the
next five years - cutting the interest rate from 6.8% to 3.4%.
Estimates show that over 68,000 students in Louisiana would benefit from this
legislation, saving an average of $2,160 to $4,180 over the life of the loan,
depending on when they start college. The bipartisan legislation
overwhelmingly passed the House.
"The dream of earning a college degree should be within
reach for any student who is qualified and willing to work hard to continue
their education," Rep. Melancon said. "The cost of tuition at most
public universities has skyrocketed in recent years, putting college
out-of-reach for more and more students. The College Student Relief Act
will help make a college education a little more affordable for low- and
middle-income students and their families and I am proud to vote for this bill."
Rep. Melancon added, "Our economy depends on a
highly-skilled and well-educated work force to remain strong. Making
college more affordable will benefit all Louisianians in the long run by
helping our state compete in a global economy."
The College Student Relief Act cuts the interest rate in
half in five steps: from 6.8% to 6.12% in 2007; 5.44% in 2008; 4.76% in
2009; 4.08% in 2010; and 3.4% in 2011. The bill is fully paid for by
making modest reductions in certain lender and guaranty agency subsidies in
order to make the student loan program more efficient and effective for
students and for American taxpayers. See attached fact sheet for more
information on how the bill meets pay-as-you-go requirements.
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Contact: Robin Winchell (202) 225-4031
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