Democrats Propose Capping Interest Rates on Student Loans

With Democrats set to take control of Congress in January, lawmakers are focusing on capping interest rates on student loans as part of their affordability agenda. Proposed legislation, such as the Lowering Student Loans Act and the Affordable Loans for Students Act, aims to set new federal student loan interest rates at 2% and allow existing borrowers to refinance at the same rate. The Student Loan Interest Elimination Act would go further, proposing a 0% interest rate.