Precisely what does cutting rates on the student education loans do?

Precisely what does cutting rates on the student education loans do?

Is actually lower interest rates an informed path to a great fairer, better education loan program? Throughout the rhetoric read inside the Congress as well as on new campaign path, the answer seems to be “sure.” However, one another empirical facts and you may monetary theory reveal that reducing interest prices was an outspoken, inadequate, and you can pricey device to possess increasing education and you can reducing financing defaults. Leer más