U.S. Sen. Joni Ernst (R-IA) on Feb. 16 sponsored a bipartisan bill that would give student loan applicants an estimate of the total amount of interest they would pay on a federal student loan.
“The one time students should be given a cheat sheet is to reveal the true cost of college tuition,” Sen. Ernst said. “My bipartisan bill will pull back the curtain and give our students the tools they need to make the best decisions for their financial future.”
Specifically, the Student Transparency for Understanding Decisions in Education Net Terms (STUDENT) Act, S. 469, would provide an estimate of the total amount of interest they would pay, based on a standard 10-year repayment plan, during or prior to accepting a loan, according to a bill summary provided by Sen. Ernst’s office.
S. 469 has five original cosponsors, including U.S. Sen. Maggie Hassan (D-NH), and is supported by Iowa College Aid and the Iowa Student Loan Liquidity Corp.
The bill has been referred for consideration to the U.S. Senate Health, Education, Labor, and Pensions Committee.