Minnesota Launches Student Loan Refinancing Program |
News - Articles for State & Local |
Written by Democratic Party of Wisconsin, Brandon Weathersby |
Tuesday, 19 January 2016 12:19 |
MADISON - Last week, Minnesota announced the kick-off of a college debt refinancing program that promises to save student loan borrowers hundreds of dollars each month. Despite this promising new program from our neighbor-state, Wisconsin Governor Scott Walker and his allies in the legislature have continued their staunch opposition to loan refinancing for borrowers in Wisconsin. The "Higher Ed, Lower Debt" bill, written by Sen. Dave Hansen (D-Green Bay) and Rep. Cory Mason (D-Racine) remains stalled in the Committee on Universities and Technical Colleges, where Sheila Harsdorf (R-River Falls) has refused to schedule a vote on the refinancing measure. "Once again, our neighbors west of the Mississippi are showing Scott Walker and Wisconsin Republicans how it's done," Democratic Party of Wisconsin Executive Director Kory Kozloski said on Tuesday. "Borrowers in our state deserve real debt relief. It's time for Senator Harsdorf and Governor Walker to take student loan debt seriously and support the Democrats' refinancing proposal." According to news reports, Minnesota state officals announced a program to allow thousands of residents to refinance student loans and reduce monthly payments. Minnesota Higher Education Commissioner Larry Pogemiller estimated that a borrower owing $40,000 at an 8 percent interest rate, the new program could lower monthly payments between $200 and $300. If the same borrower opted for a quicker repayment plan, they could save $25,000 in interest charges. Walker and Harsdorf supported hundreds of millions of dollars in spending cuts for public universities that shifted more of the cost onto families, leading many to take out loans to cover the cost of earning a degree. A report from the Wisocnsin Legislative Fiscal Bureau found that 41,000 college students were denied need-based grants during the 2013-2014 academic year due to a lack of funding. |
Last Updated on Wednesday, 20 January 2016 12:29 |