Rangel Introduces Bill to Reduce Burden of Student Loan
Washington, D.C. - Congressman Charles B. Rangel introduced the Student Loan Interest Deduction (SLID) Act of 2013 to ease the burden posed by student loans and the debt they bring upon America’s students. Rangel’s bill would double tax deductions for student loan interest rates and eliminate income phase-outs.
"Student loan debt has become the number one form of debt that Americans currently have, totaling more than $1 trillion, more than the credit card debt or auto loan debt by over $100 billion," said Rangel. "The costs of tuition are rising faster than American families can keep up with the inflation. High unemployment rates have inhibited people's capacity to pay off their debt even long after graduation, creating an unprecedented student loan debt crisis."
In response to the sharp rise of student loan debt in the past decade and the high delinquency rates, Rangel first introduced the SLID Act in the 112th Congress. The SLID Act would increase the tax deduction for student loan interest from $2,500 to $5,000 for singles and $10,000 for married couples. It also eliminates the income phase-outs of $50,000 for individuals and $100,000 for married couples in the current deduction.
The current effort to lessen the burden of student loan debt has garnered the support of ten original co-sponsors - Reps. Grace Napolitano (D-CA), Bill Pascrell, Jr. (D-NJ), Jim McDermott (D-WA), Jared Polis (D-CO), Juan Vargas (D-CA), Raul Grijalva (D-AR), Yvette D. Clarke (D-NY), Ron Kind (D-WI), Madeleine Z. Bordallo (D-GU), John Conyers, Jr. (D-MI), Frederica Wilson (D-FL) and Keith Ellison (D-MI) - which reflects the wide range of support for this student tax cut.
"Students hold the key to the economic future of America," said Rangel. "They are the ones responsible for maintaining the level of innovation that has made this country great, and will lead our nation in the global competition. This bill aims to encourage higher education in our country so we can keep pushing America forward. It's a step in the right direction so that the American Dream remains within reach of our children."
Additionally, the SLID Act has received the endorsement of seven education trade organizations, indicating great enthusiasm for the bill from the education community. The endorsing organizations are the American Council on Education, Association of American Universities,
Association of Jesuit Colleges and Universities, Association of Public and Land-grant Universities, NASPA – Student Affairs Administrators in Higher Education, National Association of Independent Colleges and Universities, and National Association of Student Financial Aid Administrators.