Meehan presses leadership to prevent spike in student loan interest rates

Rep. Patrick Meehan (R-Pa.) recently asked Senate leadership to take action before federal student loan interest rates more than double.

Meehan is among a bipartisan group of federal lawmakers who recently wrote to Senate Majority Leader Harry Reid (Nev.) and Minority Leader Mitch McConnell (Ky.) requesting that the chamber considers legislation that would prevent the interest rate from doubling to 6.8 percent on Monday.

The House passed the Smarter Solutions for Students Act in late May in a 221-198 vote. The Senate has not passed any legislation dealing with the looming rate increase.

“The bipartisan bill passed by the House prevents student loan interest rates from doubling,” Meehan said. “The bill establishes a long-term solution by connecting student loan interest rates to the market rate of Treasury bonds, taking the yearly politics out of this issue and stopping the annual threat of drastic rate hikes.”

If the Senate does not approve a bill, the rates will automatically increase when current law expires.

“We ask that you pass legislation immediately so that we can work together to resolve any differences between the chambers and prevent the interest rate from doubling for our neediest borrowers,” the letter said. “If we all agree student loan rates should not go up, let’s show students we care by passing legislation before the end of the month.”