Maloney Disappointed After Senate Republicans Block Student Loan Refinancing Bill
Washington - With student loan debt surpassing more than $1.2 trillion, Rep. Sean Patrick Maloney (NY-18) expressed full support for the Bank on Students Emergency Loan Refinancing Act which would help more than 1,581,000 borrowers in New York refinance their student loans at lower interest rates. Unfortunately, the Senate failed to moved forward on a key procedural vote.
“Giving students the option to refinance their loans would create jobs and grow our economy by allowing millions of Americans to start their own business, buy a home, or save for retirement. We must act now because Hudson Valley students and families cannot afford the crushing burden of student loan debt – plain and simple,” said Rep. Sean Patrick Maloney.
Across the country, 71 percent of those earning a bachelor’s degree graduate with debt, averaging $29,400 with the total student loan debt has hit $1.2 trillion – a massive weight on the lives of millions of young Americans. Rep. Maloney is a co-sponsor of HR 4582, the Bank on Students Emergency Loan Refinancing Act. The Department of Education estimates that, if passed, 25 million borrowers would take advantage of the student refinancing legislation and refinance their existing student loans to lower interest rates, similar to those that are currently available to new student loan borrowers. Under the bill, a typical participating borrower would save $2,000 over the life of his or her loan. For the full report prepared by the Domestic Policy Council and the Council of Economic Advisers, click here.
Last year, Rep. Maloney voted for the Bipartisan Student Loan Certainty Act, which allows students to lock in today’s historic low interest rates for the life of the loan and includes caps on future rate increases. The Department of Education estimates that there are 480,511 undergraduate borrowers in New York and this legislation would save the typical undergrad in New York $1,433 over the life of a loan.