Interest rates on some student loans doubled to nearly 7% Tuesday after Congress failed to reach a last-minute compromise.
The interest rates on federally subsidized Stafford loans jumped from 3.4% to 6.8% but could be reduced when lawmakers return from the Fourth of July holiday.
Lawmakers from both parties, as well as the White House, vowed to lower that rate before students start signing loan documents this fall. The rate now stands higher than that of most loans available from private lenders, the Associated Press reported.
"In the grand scheme of all the loans that I already have, I suppose it's not out of control," Angie Platt, a 20-year-old University of Iowa student, told AP. "It's just another thing to add on. It doesn't help me, that's for sure.”