You can now read 5 articles in a month for free on BostonGlobe.com. Read as much as you want anywhere and anytime for just 99¢.

editorial

Warren, Markey should let student loan deal proceed

Senator Elizabeth Warren has been a fierce advocate for students in the political standoff over rising loan rates. She has reframed the debate, asking important questions — more recently echoed by her new colleague Ed Markey — about the billions of dollars the government makes annually off student loans. Both Massachusetts senators pledged this week to block an emerging deal because, they say, it will do little to lower those profits. But for the sake of students who are suffering under Congress’s failure to deal with the loan crisis, this deal — the most realistic bipartisan compromise — should go forward.

Continue reading it below

College students across the country have been holding their breath the past three weeks as federal lawmakers work to undo a rate hike for subsidized Stafford loans that took effect July 1. Rates for new loans doubled from 3.4 percent to 6.8 percent. Under the Senate deal, such rates would fall to 3.9 percent for undergraduates, for the life of the loan. For graduate students and parents borrowing for their children, rates would be slightly higher. All rates would be pegged to the 10-year Treasury note, which could increase as the economy improves, although the deal caps undergrad rates at 8.5 percent. What’s more, the deal offers clarity to future borrowers by taking the setting of rates out of the hands of Congress.

It’ll take more than one compromise to ease the debt burden on college graduates. Total student debt is now close to $1.2 trillion. Yet the compromise is fair. Despite their noble intentions, Warren and Markey shouldn’t hold up the only relief in sight for today’s student borrowers.

Loading comments...
Subscriber Log In

We hope you've enjoyed your 5 free articles'

Stay informed with unlimited access to Boston’s trusted news source.

  • High-quality journalism from the region’s largest newsroom
  • Convenient access across all of your devices
  • Today’s Headlines daily newsletter
  • Subscriber-only access to exclusive offers, events, contests, eBooks, and more
  • Less than 25¢ a week
Marketing image of BostonGlobe.com
Marketing image of BostonGlobe.com
Already a subscriber?
Your city. Your stories. Your Globe.
Yours FREE for two weeks.
Enjoy free unlimited access to Globe.com for the next two weeks.
Limited time only - No credit card required!
BostonGlobe.com complimentary digital access has been provided to you, without a subscription, for free starting today and ending in 14 days. After the free trial period, your free BostonGlobe.com digital access will stop immediately unless you sign up for BostonGlobe.com digital subscription. Current print and digital subscribers are not eligible for the free trial.
Thanks & Welcome to Globe.com
You now have unlimited access for the next two weeks.
BostonGlobe.com complimentary digital access has been provided to you, without a subscription, for free starting today and ending in 14 days. After the free trial period, your free BostonGlobe.com digital access will stop immediately unless you sign up for BostonGlobe.com digital subscription. Current print and digital subscribers are not eligible for the free trial.