Campus Progress calls for changes in student loan policies
Published: Tuesday, February 19, 2013
Updated: Tuesday, February 19, 2013 01:02
Campus Progress is currently working on rallying people around the country in an effort to appeal to Congress about the student debt crisis.
The campaign, It’s Our Interest, is focused on offering solutions to fix the financial system so those with student loans can refinance to better afford their payments.
Brian Stewart, the communications manager for Campus Progress, said that student loan debt now surpasses credit card debt and totals at around one trillion dollars.
“What people don’t realize is how broad the range of affected Americans is,” Stewart said. “Only 40 percent of the debt holders are under 30. And this is just the beginning of statistics that show how much trouble student loan holders are in.”
Stewart said that over 13 percent of borrowers have defaulted on their loans due in 2009 and another 26 percent became delinquent on their notes, one step above default.
Tobin Van Ostern, the deputy director for Campus Progress, said exactly why loan holders should push for the option to refinance.
“Refinancing loans allows borrowers to get out from under debt by getting a new loan with better terms,” Ostern said. “Refinancing would also boost the economy by allowing people to save money on interest and would encourage even more people to go to college.”
Ostern said that even private loan debt could be remedied if students refinanced under a federal loan deal.
Ostern reminded students that they were one of the essential parts to making changes happen when it comes to government issues, and one of the key components used by Campus Progress.
“This is the chance to engage tens of millions of borrowers,” Ostern said. “With the wide range of American borrowers, even a fraction of those getting involved will make a difference. People encouraging their officials and government agencies to look at the issue will bring more attention to our cause and will eventually create results.”
According an article by Ostern on the Campus Progress website, refinancing loans would be not only beneficial for students, but also for the nation.
“It is in the nation’s best interest to ensure that students are able to make timely payments,” Ostern said, “and it’s time for federal policy makers to take action.”