Rep. Israel Calls on Congress to Lift Crushing Burden of Student Loan Debt
Old Westbury, NY— Congressman Steve Israel (D-Huntington) joined Dr. Edward Guiliano, President of New York Institute of Technology (NYIT), Nicole Soman, president of the Student Government Association (SGA) at NYIT-Old Westbury, and local college students to urge Congress to pass the Bank on Students Emergency Loan Refinancing Act (H.R. 1434, S. 793), which would allow borrowers with high interest rates on their existing student loans to refinance at lower levels. Under this legislation, borrowers could refinance undergraduate loans at an interest rate of 3.86 percent. Currently, student loan borrowers are stuck with interest rates as high as 7 percent on their existing loans.
“High interest rates and student loan debt are crushing hard-working New Yorkers. Instead of saving to buy a home, starting a business, or putting money away for a safe and secure retirement, college grads are being held hostage by their monthly student loan payments,” said Rep. Israel. “I urge Congress to work together and pass this commonsense legislation, which not only allows millions of hard-working Americans to refinance their student loans at today’s low interest rates, but makes it possible for the next generation of New Yorkers to achieve the American dream.”
Dr. Guiliano said, “As a university president, I am keenly aware of issues relating to student debt in America. Anything that offers relief from this burden is welcome.”
New York State has an estimated 2,825,000 federal student loan borrowers, and nationwide federal student loan debt totals $1.3 trillion. The Department of Education estimates that 25 million Americans could 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.
Rep. Israel is a cosponsor of the Bank on Students Emergency Loan Refinancing Act (H.R. 1434), which is fully paid for by enacting the Buffet Rule, which eliminates unfair and unequal tax loopholes for the ultra-wealthy.
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