Lowering Student Loans Act
Rep. Thompson Introduces the Lowering Student Loans Act to Cap Interest Rates at 2%
Legislative Progress
Key Points
Impact Analysis
Personal Impact
Life & Work
Current and future college students who take out federal loans would benefit from significantly lower borrowing costs. A student taking out $30,000 in loans at 2% instead of 5-6% could save tens of thousands of dollars in interest over a standard 10-year repayment period. This reduces the long-term financial burden of attending college and could make higher education more accessible.
“for Federal Direct Stafford Loans, Federal Direct Unsubsidized Stafford Loans, and Federal Direct PLUS Loans (including such a loan made to a parent on behalf of a dependent student) for which the first disbursement is made on or after July 1, 2026, the applicable rate of interest shall be 2 percent on the unpaid principal balance of the loan.”
Programs
Milestones
Referred to the House Committee on Education and Workforce.
Introduced in House
The bill was officially filed and given a number. It now enters the legislative queue.
Votes
No votes have been recorded for this legislation yet.
Source Information
Document Type
Congressional Bill
Official Title
Lowering Student Loans Act
Data Sources
Sponsor
Cosponsors
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