Statement of U.S. Rep. Kendrick B. Meek (D-FL) Regarding Student Loan Payments Becoming More Affordable for Millions of Americans

New Financial Aid Benefits Allow Borrowers to Pay Back Loans Based on Their Income

WASHINGTON, DC – Congressman Kendrick B. Meek (D-FL) issued the following statement regarding a new initiative that will take effect today that will make student loans more affordable by allowing borrowers to cap their monthly loan payments based on how much income they earn:

"During our nation’s current economic crisis, college debt is an issue many are dealing with. This new initiative, which will cap student loan payments in light of a borrower’s income, could not have come at a better time in this tough economy. Unfortunately, so many students and families in Florida and throughout our nation are working hard to pay for college and accumulated debt.

"Our children and grandchildren’s pursuit of their dreams should not be based solely on their crippling educational debt. It is essential that our college graduates choose what they desire to do professionally based on their talents, skills and dreams—not the size of student loan payments. Our nation’s future does not deserve the rising cost of education to prevent them from realizing their full potential. Not only will I continue to fight to make education more affordable for all Americans, but I will also work to prevent circumstances when Americans find themselves with unmanageable college debt for decades after they finish college."

The new Income-Based Repayment (IBR) program will allow borrowers to cap their monthly loan payments based on how much income they earn. This program, in conjunction with a lower interest rate on subsidized – or need-based – student loans and an increase in the Pell Grant scholarship, will help make college more affordable and help alleviate devastating student loan burdens for millions of students, recent graduates and other borrowers.

U.S. Rep. Kendrick B. Meek represents the 17^th Congressional District of Florida which includes parts of Miami-Dade and Broward Counties. He serves as the lone Florida Democrat sitting on the House Committee on Ways and Means.

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