Student Loan Debt Prompts Action From Sen. Franken

By KBJR News 1

April 18, 2012 Updated Apr 18, 2012 at 9:10 PM CDT

Washington D.C. (Northlands NewsCenter)
-- A bill, co-sponsored by Minnesota Senator Al Franken is aiming to lighten to debt load for college graduates, which is a big problem in Minnesota.

The land of 10,000 lakes ranks 4th in the nation for student loan debt.

Franken's bill is trying to prevent the interest rates on Stanford Loans from doubling in the next few month from 3.4 percent to 6.8 percent.

Franken says it's not logical for the government to give loans to banks a rock bottom prices and leave students paying high rates.

"Since these are federal loans, they are not going through banks or anything, they come straight from the government. I don't know why the government would be charging banks .25 percent and charging students 6.8 percent"

According to the Minnesota Office of Higher Education, in 2010, 71 percent of college graduates had student loans.