Associated Press
Congress has until June 30 to act on student-loan interest rates, or rates will double for over 7 million students, who'll face an average of $1,000 in additional debt. The assumption has been that policymakers would work something out before the deadline.
That assumption is probably wrong. House Speaker John Boehner (R-Ohio) told his caucus this morning in a closed-door meeting that failure is not only an option, it's likely.
Boehner told the House Republican Conference Thursday morning that it was unlikely Congress would be able to prevent student loan interest rates from doubling before the end of the month, but he blamed the Senate, since the lower chamber has already passed a bill. He dubbed the fight "phony," and urged his members not to fall victim to what he considers a manufactured tussle.
First, the issue isn't "phony" at all to those affected by it. By allowing interest rates to double, Republican policymakers will force those with student loans to pay more every month, undermining their purchasing power. Why the Speaker sees this as "phony" is unclear, but he's wrong.
Second, blaming the Senate is silly. The House passed its version, but paid for it by cutting access to breast cancer and cervical cancer screenings. Senate Democrats offered an alternative, paying for the lower rates by closing a tax loophole that currently allows some very wealthy people to shield some of their earnings from the payroll tax (the S-corp provision). Republicans killed the proposal with yet another filibuster.
As far as Boehner is apparently concerned, it's either the House version or nothing, which means student loans interest rates will likely double just 30 days from now. (Update: Boehner's office told TPM the Speaker is "ready to talk about" a solution, but he remains committed to a House bill that can't pass the Senate or get President Obama's signature.)
Incidentally, that's not all the Speaker had to say this morning.
"Let's call bulls--- bulls---," he told House Republicans in a closed meeting this morning. "This election is about jobs, jobs, jobs."
Boehner and his caucus will demonstrate their laser-like focus on jobs today with a vote on another anti-abortion bill.
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It seems the only compromise the GOP is willing to consider is to compromise their remaining principles if they have any left. It is already obvious they have sold out mainstream Americans.
No wonder why the GOP is working so hard to supress student voting!
I'm so shocked at Boehner's stance on this. This makes him look like some kind of do-nothing maniac who's just sitting on his hands collecting a government paycheck for doing absolutely nothing! I'm stunned he would say something like this.
I can't wait for November. The Gop is going to get a beating so severe that they're going to have psychological scarring from it.
No really, we're going to give them the kind of electoral retaliation that you only see in political movies, and cartoons. Forget landslide, this is going to be a rockslide election.
Conservatives have done nothing since 2008 except wind up a big old spring of negative karma, and I will be more than happy to march down to my polling place and do my part to trip the switch firing all of their deserved 'hurt' down onto them.
Voter Suppression, Birtherism, Polemic Journalism and propaganda, pandering to bigots, militias, racists and Christian Radicals, holding the credit rating of the US hostage, restricting women's health rights, outright lying about every single economic indicator and repeatedly shirking the work they were sent there to do while pushing tax-cuts, deregulation and benefits for oil companies, and screwing with student loans.
This is going to be the lesson, of how far is too far. This is going to be sweet. We're going to rain hell down on the GOP, we're going to break the Elephant's back.
We are going to reform government, restore America to its rightful place at the top in terms of education, infrastructure, and quality of life. We're going to live in a 21'st century America and it's going to show it.
It's pretty clear, they hate Americans and love multi-national corporations, just like King George loved cashing in on colonists.
Here, buy this tea and send tax money to me.
Also Boehner really likes using the word "phony".
It's that I'm rubber and your glue thing again.
Forgive my ineptitude, folks. I just pushed my up arrow instead of yours. (Blushes). It was a mistake.
I wish you could bottle and sell some of that enthusiasm. The party really needs more people who think that way to get others thinking too. I've got your back vox.
It is a very difficult thing to do, to govern, when one side of the aisle is trapped in an echo chamber, feedback loop and intense cognitive dissonance as it spews its deadly nonsense upon unassuming Americans and their loved ones!
In John Boehner's democratic world compromise means his way, problem solving comes with its own set of problems, and if need be, up will be down, down will be up, ignorance is strength, knowledge is slavery and big brother wears Red! -Kevo-Kevo
This is an important issue for me, since I have two kids in college. However, neither of them currently has a Stafford Loan. The Perkins loans are fixed at 5.0%. The Stafford loans will go up from 3.4% to 6.8%, but only for the 2012-2013 school year (for now).
The rates for existing loans will not go up. And the rates for 2013-2014 and beyond can be lowered in the next congress. So while this is not a "manufactured crisis" I don't think it's fair to extrapolate to an additional $1000 for an average student. That would be for the average freshman assuming the rates are never lowered.
Currently carrying student loans for 8 years of college with another 8 years of college to go (4 kids, my fault I know) ...but @!$%#. I am already spending $2K a month no these loans...come on Bohner..get real.
"Tan in a Can" Boehner calling something phony is the black hole calling the kettle black.
Don't count on it VOX, there's too much money and stupid republicans that believe what comes out of Romney's mouth to be so confident. I hope you're right but this election scares me! God help us if the reps win.
"This election is about jobs, jobs, jobs. Now someone hand me my drink and let's vote on that anti-abortion bill."
Students want to get the loan instantly and also with less effort. But if there will be increase in interest rate of the student loan it will be the huge problem for the students so government should take action on it and try to ignore it instead of it they should decrease the student loan interest.
www.simpletuition.com/student/elmhurst_college_financial_aid.html