Senate leaders say they have student loan deal

(AP) - Senate leaders of both parties say they've reached a deal to prevent interest rates on millions of student loans from doubling beginning on

WASHINGTON - (AP) - Senate leaders of both parties say they've reached a deal to prevent interest rates on millions of student loans from doubling beginning on Sunday. But House Speaker John Boehner has yet to decide whether the pact will be agreeable to the Republican-run House.

Senate Majority Leader Harry Reid of Nevada and Senate Republican leader Mitch McConnell of Kentucky told reporters Tuesday that they have worked out an agreement between themselves.

Boehner spokesman Michael Steel says the Ohio Republican will examine the pact.

Senate aides say the agreement would keep interest rates for subsidized Stafford loans at 3.4 percent for another year. The $6 billion cost would be financed by making it more expensive for companies to get federal insurance for their pensions and reducing federal subsidies for Stafford loans.

advertisement | advertise on News 12

Trending Video

This week's Real Possibilities report takes a look 1 Real Possibilities: Senior tax preparation
Catherine Macari was sworn in as the Norwalk 2 Norwalk FD gets 1st female firefighter
Police say a viral video of a tip 3 Police: Viral video spurred thief to return tip jar
4 Long Islanders look to add to HS wrestling legacies
Suffolk PD detectives say one person was killed 5 Police: 1 person killed in Moriches accident

advertisement | advertise on News 12

Features

Focus on Connecticut Focus on Connecticut

Features local, state and federal officials discussing the issues around southwestern Connecticut.

Celebrates African-American culture in southwestern Connecticut. Our Lives

Celebrates African-American culture in southwestern Connecticut.

Each week News 12 Connecticut introduces you to Hometown Hero

News 12 highlights people who give to the community.

We spotlight a local team each week. Connecticut Team of the Week

Each week News 12 Connecticut highlights a team from a local school.

Sorry to interrupt...

Your first 5 are free

Access to News12 is free for Optimum, Comcast®, Time Warner® and Service Electric℠ video customers.

Please enjoy 5 complimentary views to articles, photos, and videos during the next 30 days.

LOGIN SUBSCRIBE