Lawmakers, Students Take To Twitter To Voice Their Opinion On The Student Loan Debate

"As Congress has struggled to reach a consensus on setting federal student loan rates, both parties have urged college students and 20-something former students to take a side on the issue by using the Twitter hashtag #DontDoubleMyRate," The Washington Post reports. "That expansive messaging effort has led to confusion about the legislation, prompting a surge of phone calls to college and university financial aid offices. One of the biggest misconceptions is that all student loan holders will see a doubling of their interest rates — or even their entire monthly payments. But the July 1 increase in the rate is on just one type of federal student loan, and alumni and many students will not be affected by the change. But the more than 7 million who are expected to take out one of these loans this year eventually could see a loan bill that’s about $20 more per month — a burden, for sure, but not the crippling problem that lawmakers in both parties have portrayed it to be, according to financial aid experts. ... The lower rate was supposed to expire July 2012 but it became a campaign issue; both President Obama and Mitt Romney supported continuing it. Lawmakers extended the rate for a year without delving into the deeper issue of changing the way the government sets all of its student loan rates — not just those for the subsidized Stafford loan. 'We should address all student loan interest rates instead of hyper-focusing' on the subsidized Stafford loans, said Justin Draeger, president of the National Association of Student Financial Aid Administrators. 'There’s a much larger issue here.'"

NASFAA's "Financial Aid in the News" section highlights media coverage of financial aid to help members stay up to date with the latest news. Inclusion in Today's News does not imply endorsement of the material or guarantee the accuracy of information presented.