Cost Estimate Puts in Doubt Deal Covering Student Loans

July 11, 2013

A tentative agreement to overhaul the federal student loan program was close to collapsing on Thursday night after the Congressional Budget Office said the proposal would cost the Treasury $22 billion over 10 years, according to aides familiar with the discussions. Negotiators from both parties started the day with high hopes that a deal could be struck next week to restore lower student loan rates — but only after Senate Democrats retreated on their position that subsidized loan rates be locked in for at least another year and not subjected to market forces.

Article Source: New York Times