Sinema’s bipartisan letter urges Congressional leadership to prioritize Arizona students and eliminate unnecessary burden preventing students from accessing education
WASHINGTON – Arizona senior Senator Kyrsten Sinema led a bipartisan letter urging Congressional leaders to waive student loan origination fees for Arizona students in the next coronavirus relief package.
“Waiving student loan origination fees allows Arizona students fully access their education during the COVID-19 pandemic,” said Sinema.
In her bipartisan letter, Sinema stresses the impacts of COVID-19 on Arizona students’ health and livelihood. As students experience financial strain due to lost jobs or income, many will need to take out student loans to cover the cost of higher education or will be forced to school entirely.
Origination fees are charged by a lending bank when it processes a student loan. These fees are typically a percentage of the total amount a student borrows. In the case of federal student loans, the federal government charges students origination fees directly. Sinema additionally stressed in her letter that it has been repeatedly proven that origination fees bring in less revenue than the Congressional Budget Office projects, making origination fees a danger to yearly budgeting.
The average undergraduate student in a four-year program will pay an estimated $235 in fees and associated interest on student loans. Sinema introduced with Republican Senator Mike Braun (Ind.) the bipartisan Student Loan Tax Elimination Act to eliminate federal student loan origination fees, increase affordability of education, and lessen the burden on students borrowing for college.
Click HERE for Sinema’s bipartisan letter.
Sinema has also added a resources page to her website, www.sinema.senate.gov/corona, with specific resources for Arizona seniors looking for the latest information on coronavirus.
Click HERE for Spanish version of the release.