Student body presidents from six colleges and universities from throughout the state met at Salt Lake Community College on Friday, June 8 to discuss the upcoming increase on student loan rates that are to take effect on July 1.
The student body presidents were advocating on behalf of the students in their higher education schools. They met together Friday to discuss the Stafford student loan interest rate increase and make their voices heard by the state legislature to keep students’ interest rates low. They drafted and signed a letter to Utah’s state representatives, Governor Herbert and President Barack Obama asking them to not increase the interest rates.
“I am struggling just to stay in school to finish an associates, [this increase] only makes it more of a struggle,” said Jason Koelliker, a SLCC student concerned about the rate increase of student loans. “I have given so much of my time, money, heart and soul into gaining an education, and I just want to get through and move on with my life. I had planned to look at the student loan route to finish up but I feel discouraged and disillusioned about that option now. It just means I will have to take even longer to finish. It’s very frustrating.”
Students are echoing this sentiment of frustration about increased student loan rates as well as higher tuition fees. An email was sent out by SLCC Student Association Executive Council concerning a 4.5% tuition increase in the upcoming 2012-2013 school year. This increase, coinciding with an increase in student loan interest rates, puts a double strain on already cashed strapped students.
“I did not receive that email nor did I have any idea that there would be a slight [tuition] increase”, wrote Justin Escarciga, Vice President of South Region at SLCC, in an email. “I actually believed that we would be receiving some kind of break, possibly a slight increase to give the faculty a raise. I am very aware about the student loan increase and I think it’s absolutely ridiculous.
“7,400 students at SLCC will be affected by this increase and it seems almost impossible to get a higher education. I can’t comprehend why President Obama said that everyone deserves a higher education and when it comes to supporting and funding it, it’s just nonexistent. But oh yeah, it’s fine to start worrying about student loans when it’s an election year. I’m very frustrated.”
Keeping tuition and student fees low
According to SLCC’s student body president Aaron Starks tuition increases are determined based on legislative funding but with the weak economy tuition has increased steadily over the last five years. He praised President Bioteau’s effort in keeping tuition and student fees lower than most higher education institutions in the state.
“She has worked very very hard to accommodate the students by first understanding the students interests and needs and then doing what she can as the president of this institution to fight for lower tuition and student fees,” said Starks of President Bioteau. “She takes in consideration the voice of the students and makes that known.”
The student interest rate increase would affect only undergraduate subsidized loans applied for after July 1, 2012. That would affect an estimated 67,000 students in Utah in the upcoming school year. This would not affect loans currently issued. Interest rates were lowered to 3.4% in 2007 when the economy was weak and are set to expire and return to 6.8% unless congress works together to come up with a solution to pay for the extension.
“Students shouldn’t have to pay the amount of money that we’re already paying for tuition, books, fees coupled with the Stafford loan interest rate being doubled,” said Starks. “It’s too much. It’s more or less accumulation of all these things that broke the camel’s back. We want to be loud about it now and we want change.”
Starks encourages students to call their state representatives about the proposed rate increase and make their voices heard.
“We have a small window of opportunity to make our voice known to our state legislature and let them know that we don’t want to see the interest rate double on subsidized loans,” Starks said.