House Republicans Destroy the GOP by Voting to Raise Student Loan Interest Rates

[Tx4obama]

House Republicans Destroy the GOP by Voting to Raise Student Loan Interest Rates

By a vote of 221-198, House Republicans continued to destroy their party by passing a bill that would raise student loan rates.

Nine Republicans voted against the bill, and two Democrats voted for it. House Republicans tried to disguise their plan to raise student loan interest rates as saving the student loan program by making it a part of the “free market.” What House Republicans passed is a variable rate scheme where a student’s loan rate would be reset every year, so that the loan rate the student paid as a freshman would likely increased each year until they graduated.

The Washington Post reported that the bill would cause the interest rate on a Stafford Loan to double, “Students who max out their subsidized Stafford loans over four years would pay $8,331 in interest payments under the Republican bill, and $3,450 if rates were kept at 3.4 percent. If rates were allowed to double in July, that amount would be $7,284 over the typical 10-year window to repay the maximum $19,000.”

The point of this bill wasn’t to save the student loan program, but to kill it. The Republican goal is to turn student loans back over to the banks. By turning student loans into variable rate loans, House Republicans are laying the groundwork for the big banks to make huge profits off of students should they get their hands on student loans again.

-snip-

http://www.politicususa.com/republicans-court-young-voters-passing-bill-raises-student-loan-interest-rates.html

[djean111]

1. Won't destroy the GOP at all.

GOP voters will agree with them. Big money will agree with them.

[Arugula Latte]

6. Yep. Lots of rural and religious and rightwing voters think they're just peachy

and keep voting them into office. The rest of us pay the price for red district idiocy.

[raouldukelives]

12. Every Wall St investor agrees with them.

If not in spirit, certainly in the only thing that really matters to them, in money.

[jeff47]

15. You're thinking short-term.

Those kids they're screwing over are gonna vote. For the next 60-ish years.

[CTyankee]

18. Of course, what a short sighted policy decision this is!

Oh, well, might as well step back and watch them shoot themselves in the foot...

[DallasNE]

32. +1000

This will harden attitudes and contribute to making them life long Democrats. Except for a brief period during the Reagan years (which is hard to explain) young people have been liberal and Democrats then turn more conservative later -- look at how many Vietnam War protestors are now Tea Party members.

[msongs]

2. if democrats had more competence this would be plastered all over college media nt

[russspeakeasy]

27. Yup. Too bad is such a big "if".

[Cirque du So-What]

3. Who were the two Democrats who voted for this?

Both their asses need to be primaried in 2014.

[Tx4obama]

8. Hmm... I do not see any Dems on the roll call for the 'interest', only the final bill

The 'interest' issue vote here had ZERO dems: http://clerk.house.gov/evs/2013/roll181.xml

and the vote an the full bill here had FOUR Democrats: http://clerk.house.gov/evs/2013/roll183.xml
Poliis, Maffei, Garcia, Peters (CA)

[atreides1]

4. The GOP will use it's to most effective tools

Guns and Jesus...and it'll work like it's always worked.

Because if the unwashed masses known as Republican voters believe that their guns and their religion is under fire...and they always do...they'll re-elect the same people who regard them as nothing more then the knuckle dragging, brain dead trolls!

[freshwest]

5. More great Libertarian ideas at work. Unless you don't have a daddy with money to pay for college...

[LibDemAlways]

7. There are few things the average ignorant R hates more than those who have

a college education. And the 1%ers, who send their kids to college, never have to take out a loan. So, either way, this isn't an issue that is of any great consequence to the GOP.

[savannah43]

9. Except for their job to privatize everything for their wealthy owners isn't complete.

Student loans are just one of many tasks before them. You know, the "bathtub/Norquist" plan.

[Blue State Bandit]

10. House Repub... ulrp... licans are destroying more than just the GOP.

They're like the guy who swings at the lifeguard trying to save them. Both drowned in the end.

[TRoN33]

11. Because of student loan rate increase...

Texas, Arizona, Utah, and most likely North Carolina will watch their state turns blue in 2014 and 2016 elections because most of young people in these states are desperately for the college classes to earn the degrees and become more knowledgeable.

Good luck, GOP.

[CTyankee]

19. Yep. Funnyhow that happens...

welcome to DU, by the way...

[Pab Sungenis]

34. Maybe Texas, Arizona, and North Carolina

but the Mormons control Utah, and it will never go Blue.

[jtuck004]

13. "I freed a thousand slaves. I could have freed a thousand more if only they knew they were slaves".

H. Tubman said that about a hundred and fifty years ago.

Your conjecture that the GOP has damaged themselves made me think of that. Because the only way I can see that happening is if the children have learned to think for themselves, to determine whether they should leave, or remain in the house, with smiles on their little faces.

And, for the life of me, I can't imagine where they would have learned that, given the rewards for staying, and the "perceived pain and hardship that would accompany freedom.

For most people the cost is too great, it seems.

[libdude]

14. Anyone

having student debt or will have, and their parents if it applies should mark this on their calendar and remember this in 2014 and in 2016. Creating a variable interest rate and allowing rates to rise is nothing but a gift to the debt holders. I am hopeful that the Democrats and reasonable Republicans in the Senate will stop this travesty.
Ask yourself is this the actions of a party that has any intetests in what affects common people people or has the interests of the wealthy and banks?
From my perspective, the Republican party does not give a damn about what is in the interest of the American people as long as they can create a perception that they represent the people.
Not one vote shoild be cast for any Republican either for national or state level office.

[lhooq]

16. 26th Amendment

The GOP will suffer less political damage than many of you believe. Why? Because students (i.e., those 18 - 25 years) vote at very low rates -- despite the 26th Amendment lowering the voting age to 18. The GOP knows this.

[hrmjustin]

17. Welcome to DU my friend!

[CTyankee]

20. Only if we Dems do not publicize widely their voting record on what they care the MOST about!

So that is what we must do and will do. It's a no brainer.

It is always the case: there is no issue like a pocketbook issue that motivates voters!

[NewJeffCT]

23. and how often do Democrats have a forum to

shout about the issues? They have almost no presence on talk radio, and the influential Sunday morning talk shows have been dominated by Republicans for decades. And, too often the Democrats on these shows are moderates like Ben Nelson, Harold Ford, Joe Lieberman, etc. How often do you see Bernie Sanders, Barbara Boxer or Sheldon Whitehouse on these shows?

The only place the Democrats really have are an hour four nights a week on Comedy Central and five hours every weeknight on MSNBC (four on Fridays) - I don't think student loan votes are comedy gold for The Daily Show or Colbert, but maybe I'm wrong on that.

[CTyankee]

24. I think the outrage among students is going to be so loud that we can't NOT speak up!

As for Harold Ford, et al, I think they'd be hard pressed to DEFEND this!

[freshwest]

28. +1

[Cha]

21. this should certainly be a HUGE Campaign Issue next

year!

Gracias, Tx

[davidpdx]

22. I received an email from my university

that recommended taking loans out only for tuition due to the change in rates.

[Botany]

25. They (the repugs) should never win another race

They are against students and overtime pay. Talk about issues that should be
campaign killers.

[global1]

26. What Happened To Elizabeth Warren's Idea To Give Students The Same Rates As Banks?.....nt

[freshwest]

29. Don't know if it is a bill yet. Obama has given more grant money, not quite the same thing, though.

Here is tha action from Warren so far:

Elizabeth Warren's Student Loan Petition Garners More Than 250,000 Signatures

http://www.huffingtonpost.com/2013/05/13/warren-student-loan-petition-lower-rates_n_3267028.html

Elizabeth Warren Student Loans Bill Endorsed By Several Colleges, Organizations

by Chris Gentilviso 05/24/2013

...Back on May 8, Warren announced her plans to set student loan interest rates at the same level big banks receive from the Federal Reserve. Come July 1, some student loan rates are set to double from 3.4 percent to 6.8 percent, prompting Warren to push for legislation that reduces the level to 0.75 percent.

By Thursday, Warren's website showcased that more than two dozen organizations have endorsed the measure. Among the notable supporters were major universities like the Massachusetts Institute of Technology and groups like American Federation of Teachers.

Coupled with the support from outside sources is a strong core of political colleagues behind the bill. Sens. Mark Begich (D-Alaska), Barbara Boxer (D-Calif.), Mary Landrieu (D-La.), Claire McCaskill (D-Mo.), Jeff Merkley (D-Ore.) and John Rockefeller (D-W.Va.) have joined on as co-sponsors, and Rep. John Tierney (D-Mass.) has introduced a corresponding House version of the bill.

In a Tuesday op-ed for the Boston Globe entitled "Banking on our students," Warren and Tierney stressed the other end of the student loan predicament: government profits. Back in mid-May, figures from the Congressional Budget Office showed that the Department Of Education is set to reap a record $51 billion profit from student loan borrowers.

http://www.huffingtonpost.com/2013/05/24/elizabeth-warren-student-loans-bill_n_3329735.html

The Daily Change: Senator Merkley Co-Sponsors Elizabeth Warren’s Bill To Lower Student Loan Interest Rates

Sen. Elizabeth Warren (D-MA) thinks its wrong that Big Banks get interest rates on their loans that are seven times lower than America’s students. That’s why she introduced a bill to make the rates exactly the same for one year.

Today, Sen. Jeff Merkley (D-OR) announced that he will be co-sponsoring Warren’s legislation, called the Bank On Student Loan Fairness Act.

http://boldprogressives.org/senator-merkley-co-sponsors-elizabeth-warrens-bill-to-lower-student-loan-interest-rates/

To sign on the petition:

http://act.boldprogressives.org/survey/warren_student_debt/?source=dailychange


IMO, grants are the way to go, not loans. Obama's actions before 2010:

http://www.campusexplorer.com/college-advice-tips/CE18C8D1/President-Obama-Increases-Pell-Grant-Awards/

Since then, with a Teabagger majority:

Several changes to the program occurred in 2011. The maximum award amount for the 2011–2012 award year is $5,550.[7] Despite a shortened application process, fewer funds for the 2011–2012 program could lead to financial problems for many students. The program was funded at an amount of $17,114,000,000 from 2008–2010 as part of the American Recovery and Reinvestment Act of 2009; however, the additional funding does not fully match the needs of the increasing numbers of students enrolling in college and qualifying for aid through the recession.[8] The Pell Grant program was subject to a $5.7 billion decrease in funding as part of a continuing resolution (H.R. 1), which cleared the House in February 2011 and cut about $60 billion from the federal budget.[8] The changes would take effect for the 2011–12 school year, decreasing the maximum amount of aid for the most needy students from $5,550 to $4,705 a year; in addition, about 1.7 million students who receive smaller Pell Grants would become ineligible for the program. Approval for the cuts is not certain due to long-standing bipartisan support from the Senate.[8] As of April 6, 2011 funds have not been approved, as the Senate has not voted to pass this legislation.

https://en.wikipedia.org/wiki/Pell_Grant

But this is bound to help. The student loan system has turned into a mockery of guaranteeing educational equality.

Hope this answers your question.

[Jack Rabbit]

30. America's future is now a bunch of future Democrats

So much for Rover's "permanent Republican majority."

[AtheistCrusader]

31. CAN a Vampire commit suicide?

Honestly, I'm not really 'up' on the literature.

[blkmusclmachine]

33. Students: Too Small To Matter

[Apophis]

35. Our country is fucked up and it's circling down the drain.

[Anymouse]

36. Is This on New Loans, Or Existing Ones Too?

I am still paying for my wife's student loans out of my Veterans disability pay. Would the new bill, should it become law, affect existing loans?

And though I come from a uber-red Plains state (Nebraska), my conservative wife and I were two of the eight or so people who voted for the President and Kerry for the Senate from this county, so please don't blame us. - James, in Wyobraska.

[davidpdx]

37. I believe it is on new loans

But it will never pass into law as it has no shot in the Senate and even if it did Obama would veto it.

The interest rate on new loans for grad students goes up on July 1st. I have about a year and a half left on my doctorate, so the loan rate will go up for me if they don't pull their heads out of their asses and stop it like they did last year. Not holding my breath for that to happen.