Washington Update

With the doubling of interest rates on new student loans as of July 1, the House of Representatives passed a bill before the July 4th recess that would shift the student loan interest rates to be tied to the Treasury Bond rates as opposed to Congress setting it on a yearly basis. The Senate has been in tough negotiations on their version of the bill, which would extend the current rates for one year with the goal of overhauling the entire program with the federal government’s Higher Education Reauthorization Act.