Ill. lawmakers introduce Servicemember Student Loan Afforadability Act
U.S. Sen. Dick Durbin (D-IL) and U.S. Rep. Tammy Duckworth (D-IL) this week introduced the Servicemember Student Loan Affordability Act, which would make it more appealing to military members to refinance or consolidate pre-service student loans.
The Servicemember Student Loan Affordability Act would permit pre-service private or federal student loan debt to be consolidated or refinanced, while retaining the 6 percent rate cap under SCRA.
“Loan refinancing and consolidation is a practical, effective way to manage student loan debt,” Durbin said. "Taking advantage of today’s historically low interest rates is a smart financial decision that could save borrowers thousands of dollars over the life of the loan."
Many military families avoid refinancing pre-service student loans because of current SCRA provisions.
“Our service men and women are willing to give their lives for this country, and it is imperative that we support them in every way possible,” Duckworth said.