INDIANAPOLIS – Congressman Todd Young’s education plan called for student loan interest rates to fluctuate with the unpredictable financial markets, leaving students already drowning in student loan debt vulnerable to interest rates that could be more than double what they currently pay.
In Washington, Congressman Young supported a plan that would index student loan rates to ten-year Treasury note yields, a figure that is disconnected from a student’s ability to pay off their loans, as well as volatile and likely to rise in the coming years.
By indexing the loan rates to ten-year Treasury yields, Congressman Young could make college more expensive by risking students’ college debt on an unpredictable market.
“Congressman Todd Young’s irresponsible plan gambles with our students’ futures based on the ups and downs of the financial market. A Hoosier’s ability to go to college shouldn’t have to rely on market rates that prove to be volatile,” said John Zody, Chairman. “Students need the sense of security when it comes to their college and student loans. As Congressman Young tries to play to the political powers of Washington special interests, his dangerous education plan would make college more expensive for our kids.”
“Congressman Young doesn’t care that under his plan, students like me would have to worry that the ups and downs of the financial markets may keep us from paying off our student loans or going to college all together,” said Julian Winborn, a student at Indiana State University. “If Todd Young’s out of touch plan became law, students would be hurt. Instead of trying to help Hoosier students, Congressman Young would only have us fall behind just as we’re getting started with our lives.”