Student loan interest rates on Federally backed student loans have doubled in recent weeks from an automatic increase which could have been stopped if Congress cared more about the people of this Country than paying back the people that got them in office. Both sides unanimously agree that leaving student loan interest rates at 6.8% is “unacceptable”, yet they don’t exercise the power they have to change it… Why you ask? Why wouldn’t the people in power who actually agree on what should be done NOT take action?
Members of Congress believe their vote is worth something. In their mind, that’s the only leverage they have in this world and there is a laundry-list of people who have helped them get elected and need a favor in return. So, every instance in which their vote is needed, they feel the need to get something in return. This is the case whether or not they believe in what they’re voting for and I think it’s despicable.
In my opinion, student loan interest rates should be variable and tied to an index. That way, when rates go lower, student loan interest rates go lower. When rates go higher, student loan interest rates also go higher. It protects the Government and removes the politics, but also gives students a break in a low-interest rate environment.