Blumenthal speaks out against student loan interest hike

U.S. Sen. Richard Blumenthal will join college professors and students today in his Hartford office to protest against doubling federal student loan interest rates.

As of July 1, interest rates on subsidized Stafford loans are set to increase by 3.4 percent to 6.8 percent.

At the meeting, Blumenthal plans to call for legislative action to stabilize rates and provide “long-term stability” for students. He a co-sponsor of the Bank on Students Loan Fairness Act, which would allow students to borrow at a 0.75 percent interest rate, the same rate that is offered to banks through the Federal Reserve discount window.

In 2011, about 62 percent of Connecticut college students borrowed money to pay for tuition and the average debt load for graduates was $29,380.