Senator Elizabeth Warren takes on the moneychangers again! Introduces first bill to give students a break on loan interest

Senator Elizabeth Warren is still at it, overturning the tables of the moneychangers in Washington DC.

Occupy protestor dressed as Jesus

Today, Senator Warren just introduced the Bank on Students Loan Fairness Act, her first piece of stand-alone legislation.

The bill would allow students who are eligible for federally subsidized Stafford loans to borrow at the same rate the big banks get through the Federal Reserve discount window.

If Congress does not act, July 1, 2013 the interest rate paid by student borrowers will double from 3.4 to 6.8 percent.  Double.

Meanwhile, the big banks, you know, the same big banks that wrecked the economy, can get a preferred rate of .75%.

Warren’s bill proposes that students be able to get the same preferred rate as the big banks.

This is in line with the biblical trajectory on charging interest. Remember: ““If you lend money to any of my people with you who is poor, you shall not be like a moneylender to them, and you shall not exact interest from them.” Exodus 22:25

Or at least no more than .75%!

The full text of Sen. Warren’s remarks may be found here.

About Susan Thistlethwaite

I am President Emerita and Professor Emerita of Chicago Theological Seminary; I write for the public here and in local papers. I am interested in what I call "public theology," or how deeper meaning is made and contested in the public square.
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