Student loans 101: What's at stake in D.C. feud over college loan subsidy?

Interest rates are set to double on certain federal student loans, if Congress and President Obama don't agree on a fix by July 1. Who would be affected? How did we get here in the first place? Here are answers to five key questions.

2. How many students take out these loans?

J. Scott Applewhite/AP
Clarise McCants of Philadelphia, a Howard University political science major, center, flanked by Sen. Sherrod Brown (D) of Ohio, left, and Sen. Jack Reed (D) of Rhode Island, right, speaks during a recent news conference on Capitol Hill in Washington. President Obama on Thursday called on Congress to keep interest rates on federally subsidized loans from doubling for millions of college students.

Subsidized Stafford loans make up about one-third of the dollar volume of all federal student loans. And 9.3 million students, about 30 percent of undergraduates, took out these loans in 2010-11, according to the College Board.

This year the rate-change would affect nearly 7.5 million borrowers, the White House estimates.

2 of 5

Dear Reader,

About a year ago, I happened upon this statement about the Monitor in the Harvard Business Review – under the charming heading of “do things that don’t interest you”:

“Many things that end up” being meaningful, writes social scientist Joseph Grenny, “have come from conference workshops, articles, or online videos that began as a chore and ended with an insight. My work in Kenya, for example, was heavily influenced by a Christian Science Monitor article I had forced myself to read 10 years earlier. Sometimes, we call things ‘boring’ simply because they lie outside the box we are currently in.”

If you were to come up with a punchline to a joke about the Monitor, that would probably be it. We’re seen as being global, fair, insightful, and perhaps a bit too earnest. We’re the bran muffin of journalism.

But you know what? We change lives. And I’m going to argue that we change lives precisely because we force open that too-small box that most human beings think they live in.

The Monitor is a peculiar little publication that’s hard for the world to figure out. We’re run by a church, but we’re not only for church members and we’re not about converting people. We’re known as being fair even as the world becomes as polarized as at any time since the newspaper’s founding in 1908.

We have a mission beyond circulation, we want to bridge divides. We’re about kicking down the door of thought everywhere and saying, “You are bigger and more capable than you realize. And we can prove it.”

If you’re looking for bran muffin journalism, you can subscribe to the Monitor for $15. You’ll get the Monitor Weekly magazine, the Monitor Daily email, and unlimited access to CSMonitor.com.

You've read  of  free articles. Subscribe to continue.