(WASHINGTON, DC) – Congressman Dennis Moore (Third District – Kansas) joined his colleagues on Wednesday in supporting an effort to cut interest rates in half on need-based federal college loans, helping to make college more affordable for millions of students across the country. The House passed the bill this afternoon by a vote of 356 to 71.

“Access to a quality education is a right we all have,” Moore said. “Unfortunately, for too many students, access to higher education is a giant hurdle, one that’s often too large to overcome.”

Tuition and fees at four-year public colleges and universities have risen 41 percent – after inflation – since 2001. The typical student now graduates with $17,500 in total federal student loan debt.

This legislation, the College Student Relief Act of 2007, would cut interest rates on need-based federal loans for undergraduate students from 6.8 percent to 3.4 percent in five steps: from 6.8 percent to 6.12 percent in 2007; 5.44 percent in 2008; 4.76 percent in 2009; 4.08 percent in 2010; and 3.40 percent in 2011. The bill would save the average four-year college student in Kansas starting school in 2007 with subsidized student loans $2,280 over the life of their loans. Once fully phased in, the legislation would save Kansas students who start school in 2011 with subsidized loans $4,420 over the life of their loans.

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.

“This legislation, an investment in our future, is a vital first step toward helping lower college costs for millions of low- and middle-income students, while keeping our promises to taxpayers to maintain responsible spending,” Moore said. “But, it’s only a first step. We must also, for example, increase the maximum Pell Grant available to students, so that the door to higher education is never closed because of cost.”

Half of the student-loan borrowers who would benefit under this legislation have family incomes between $26,000 and $68,000, according to the Congressional Research Service; the median family income of borrowers was $45,000 in 2003-2004. This is well below the overall U.S. median family income of approximately $54,000, according to the Economic Policy Institute.

Moore has long been a supporter of efforts to increase the accessibility and affordability of higher education. In the 109th Congress he was a cosponsor of the Student Loan Fairness Act, which would have repealed the restriction preventing people from reconsolidating or refinancing their student loans. During his time in Congress he has also been a champion of loan forgiveness programs for teachers and nurses.