Congressman Scott Joins Fight to Give Student Borrowers a Fair Deal Amid the Coronavirus Pandemic
Yesterday, Congressman David Scott (GA-13) joined 40 of his colleagues in introducing the Coronavirus Emergency Student Loan Refinancing Act—legislation that allows student loan borrowers to take advantage of record-low yields on 10-year Treasury notes and refinance their loans down to lower rates, lowering their monthly payments as a result. Student loan borrowers are currently unable to refinance their loans, which can carry interest rates as high as seven percent on legacy undergraduate loans. With more than 44 million Americans holding student loan debt, creating a program to refinance this debt down to lower interest rates will put money back into the pockets of millions of students that will last long after this ongoing national emergency declaration.
Student loan borrowers in their 30s – including many who are starting new families now – are carrying undergraduate loans with interest rates that are as high as seven percent. For those borrowers, a refinancing proposal like the Coronavirus Emergency Student Loan Refinancing Act would significantly reduce monthly payments. The Trump Administration recently granted temporary relief on federal loan interest rates, including for homes and small businesses. With this bill we will ensure that ALL borrowers will to be able to take permanent advantage of the lowered interest rates, especially our students.