Senator Durbin speaks out against interest rate increase

By WEEK Producer

July 2, 2013 Updated Jul 3, 2013 at 11:23 AM CDT

EAST PEORIA, Ill. -- Lawmakers will return to the nation's capitol next week and Senator Dick Durbin says he expects negotiations to continue on federal student loan rates.

On Monday, the interest rates on government issued student loans doubled to 6.8 percent.

Senator Durbin said while there were multiple proposals to avoid the rate hike, a bi-partisan compromise could not be reached.

While speaking at Illinois Central College on Tuesday, the democrat said any agreement should not use the backs of students to reduce the nation's deficit.

"Think about this. At 3.4 percent last year on student loans, government student loans, the federal government made a profit of $50 billion dollars. The good news is that the money went to deficit reduction, the bad news is that the students and their families have to pay it. Why would we tax the students at this point in their lives?" said Senator Dick Durbin, (D) IL.

During his visit to ICC, Durbin touted legislation to be introduced next week that would offer competitive grants to community colleges and businesses to expand training programs for high demand jobs.