Together with 14 partners in organized dentistry, the AGD has signed onto a letter of support for the Student Loan Refinancing and Recalculation Act, legislation that aims to help relieve the burden of education debt via the refinancing and restructuring of certain federal student loans. Sponsored by Reps. John Garamendi (D-CA) and Brian Fitzpatrick (R-PA), this soon to be introduced legislation would specifically:
- Allow borrowers to refinance their student loan interest rates to the 10-year Treasury note rate, plus one percent, throughout the lifetime of the loan.
- Eliminate origination fees and instead set future student loan interest rates at the 10-year Treasury note rate, plus one percent.
- Delay student loan interest rate accrual for many low- and middle-income borrowers while they are in school.
- Allow for borrowers in medical or dental residencies to defer payments until the completion of their programs.
Impact on General Dentistry: In addition to supporting this legislation, the AGD will continue to educate lawmakers on the importance of keeping educational costs down as well as push Congress for a long-term solution that keeps interest rates and loan repayment manageable for borrowers.