President Obama Expected To Sign Bill Lowering College Student Loan Rates

August 09, 2013

President Obama is scheduled to sign a bill Friday that will lower college student loan rates. After months of congressional wrangling and a missed deadline, loan rates doubled on July 1. The Senate and House approved a new bill just before the summer recess.

Under the compromise, loan rates will be tied to the interest rate on Treasury notes. That works out to 3.86 percent this year for undergraduates and 5.42 percent for graduate students.