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Stafford student loan hits 6.8% - WCAX.COM Local Vermont News, Weather and Sports-

Stafford student loan hits 6.8%

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BURLINGTON, Vt. -

Congress wasn't able to reach a deal and so student loan interest rates doubled beginning Monday.

The Stafford Loan's interest rate rises from 3.4 to 6.8 percent -- about three times the interest of regular bank loans right now. Vermont Senator Bernie Sanders says taking on the loans will be the Senate's first priority when it gets back in session after the 4th of July Holiday.

"We have a whole generation of young people who are struggling to make it into the middle class.  They can't afford to go to college in many cases. Hundreds of thousands of young people are unable to go to college at a time when we desperately need their help," Sen. Sanders said.

A recent report also showed Vermont college grads carry more loan debt than students in most other states. 63 percent of college students in Vermont have student loans. The average balance is nearly 29-thousand dollars.

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