facebook
twitter
search
search

Senate kills bill to reset student loan rate at 3.4 percent

July 10, 2013 at 3:43 PM
| License Photo

WASHINGTON, July 10 (UPI) -- The U.S. Senate Wednesday failed to break a GOP filibuster, killing a bill that would have maintained a 3.4 percent interest rate on student loans for one year.

The vote was 51-49 in favor of proceeding to debate on the bill but the motion needed 60 votes to pass. The outcome likely will force Senate Democratic leaders to consider a bipartisan plan they have opposed, Politico said.

Stafford student loans are fixed-rate loans for undergraduate and graduate students attending college at least half-time. Rates doubled July 1, from 3.4 percent to 6.8 percent.

Senate Majority Leader Harry Reid, D-Nev., and Sen. Tom Harkin, D-Iowa -- chairman of the Health, Education, Labor and Pensions Committee -- were the main backers of the bill rejected Wednesday. Democrats have been divided on how to deal with the issue, Politico said -- with some backing the Harkin plan and others inclined to support a bipartisan bill.

Opposition to the bipartisan bill is based on concern it will only maintain the lower rate for the first two or three years, Politico said.

"It's a classic bait and switch," Harkin said.

Sen. Joe Manchin, D-W.Va., and Sen. Angus King, Ind-Maine, voted with Republicans Wednesday.

Reid said a compromise bill could be brought to the Senate floor this month, The Hill reported.

Related UPI Stories
Latest Headlines
Trending Stories
Ted Cruz campaign pulls ad featuring softcore porn actress
Report: Clinton Foundation subpoenaed by State Dept. watchdog over charity projects
Ruby Rose, Gigi Hadid react to Kanye West's lyric about Taylor Swift
Kristen Wiig impersonates Peyton Manning on 'The Tonight Show'
NYC police officer found guilty of manslaughter in Brooklyn stairway shooting