Washington – The American Association of University Women applauds the House of Representatives for passing the College Cost Reduction Act (H.R. 2669) today, a bill that will increase scholarships and reduce loan and tuition costs for undergraduate students.
The bill is the largest investment in higher education since the GI bill, and comes at no new cost to tax payers. It will cut interest rates on subsidized federal loans in half over the next five years, contain college costs, and make student loan payments more manageable for borrowers. The bill will also increase the maximum Pell Grant scholarship by $500 over the next four years, and will provide loan forgiveness to a number of graduates who choose to become public servants.
“AAUW is glad to see that the issue of increasing college costs and burdensome student debt is receiving the legislative attention it deserves,” said AAUW Director of Public Policy and Government Relations Lisa Maatz. “It is critical that the government provide these incentives – for the students who will realize the dream of a higher education – and for our country to continue to be competitive in the global economy.”
Over the past decade, debt levels have more than doubled for graduating seniors with student loans, from $9,250 to $19,200, according to the National Center for Education Statistics.
Loan repayment is an even more significant burden for women college graduates, who earn less on average over the course of their lives than their male counterparts. According to the AAUW Educational Foundation 2007 research report, Behind the Pay Gap, women already earn less than their male counterparts one year after college graduation – even in the same career field. Ten years after graduation, this gap widens.
“AAUW supports the College Cost Reduction Act because it is a positive step for access to higher education in general, and for women in particular,” Maatz said. “Students shouldn’t have to mortgage their futures for a college education, or worse, avoid college altogether, because of high costs – the economic security of the country depends on education being accessible to everyone.”
For more information or to schedule an interview with AAUW Director of Public Policy and Government Relations Lisa Maatz, please contact
Rebecca Leaf, senior media relations associate at 202/785-7738,
leafr@aauw.org or
Ashley Carr, director of communications at 202/785-7745,
carra@aauw.org.
