Compromise

Senate Passes Student-Loan Deal

Will be tied to the market prices.

A controversial plan to restructure government student loans, which recently experienced a hike in interest rates, was passed by the Senate on Wednesday. More than a dozen Democrats voted against the White House–backed legislation, saying that by tying interest rates to market prices, students will end up paying more in the long run. "Students—all students—will end up paying far higher interest rates on their loans than they do right now," Massachusetts Sen. Elizabeth Warren said. The vote passed 81–18. As a compromise, a bipartisan group of lawmakers negotiated a cap on the interest, though they're still higher than current rates.