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Friday, February 23, 2007

Save the Perkins Loan


Despite three attempts by the Bush Administration to eliminate this
longstanding program, Congress strongly supported Perkins Loans in FY 2006.

The financial gain the government seeks to recover by cutting the Perkins
Loan program is dwarfed by the hardship these cuts would create for the 750,000 students from low-income backgrounds who benefit from the loans each year. Through matching grants from academic institutions and the recycling of interest payments into loans for future applicants, Perkins Loans represent one of the more cost-effective student aid programs.

Without the availability of low-interest loans, college graduates seeking to qualify for the higher paying jobs that require a college degree end up trapped in debt peonage, struggling to pay for their college education throughout their most productive years. The elimination of Perkins Loans would further chip away at America's middle class, and remove one more rung from the ladder of upward mobility.

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