WASHINGTON, D.C. -- U.S. Senator Dick Durbin said the Senate plan to tie student loan rates to the market will benefit all tax payers.
Earlier this summer, Congress' inability to resolve a dispute allowed the interest rates on student loans to double.
Today the rate stands at 6.8 percent.
On Wednesday, the Senate overwhelmingly passed a measure on a bipartisan level that would bring the rate down to 3.8 percent.
Senator Durbin said even if you don't have kids in college, the move will affect you.
“If you're a taxpayer you should know the student loan program we've designed here is not going to be subsidized by tax payer dollars,” said Durbin, (D) Illinois. “It is, in fact, budget neutral. It could generate a little money for the treasury over a ten year period of time.”
While the vote received significant republican support, 17 democrats opposed it because they did not want to leave students at the mercy of market swings.
It is now up to the House to call it for a vote.