Durbin points out the rate on federally-subsidized Stafford college loans is set to double on July 1st to 6.8% . He says more than 350,000 Illinois students would pay an extra $1000 for each loan if that happens, which he says is unfair for students and their families.
"We know that their success is rooted in higher education and getting a degree. They're doing the right thing, they're going to school. But the cost of it is getting far beyond the average working family, certainly beyond any student,” Durbin says.
Congress acted last year to prevent a similar hike from occurring. One study shows the average student graduates owing more than $26,000. If the rates go up, the federal government could reap another six billion dollars from loan payments. Durbin says the government already makes billions from student loan interest.