(SIOUX CITY, IA) President Obama spoke with University of Iowa students today in Iowa City about federal student loan interest rates.
The President called on Congress to keep student loan interest rates at 3.4 percent. If Congress doesn't act the rate will double this summer. The President talked to students about how loans help create opportunity for young people to further their education. Mr. Obama mentioned his own experience with student loans — he said he's only here today because he took out student loans and received the opportunity himself.
He hopes the next generation gets the same chance.
"That's what Americans do, we work and we hustle and we study, and we take risks to succeed. And we don't expect a hand out, but we also understand we're in this thing together and America is not just about a few people doing well, it's about everybody having a chance to do well. It's what the American dream is all about," he said.
He called on every student at the University of Iowa, as well as students from across the country, to send their members of Congress the message "Don't double my rate" via phone, e–mail, Facebook or Twitter.
We stopped by Bishop Heelan High School today and spoke with students about their future, and how a hike in interest rates could affect their plans for college.
Michelle Keane and Matt Hewrohner are your typical high school seniors: busy planning their futures and dreaming big. Keane plans on being a community nutritionist when she graduates from college and Hewrohner hopes to study law and psychology. But with possible hikes in student loan rates, could they afford college?
"Probably, actually absolutely not. My family is not the richest, and we're not the poorest either, but were not the richest, and we just can't afford it," Hewrohner said.
Keane says one of her fears is finding a job in this shaky economy.
"My brother, he's out of college, and my other brother is going to graduate, and they're both struggling to find good positions to be able to pay off their loans and everything, and it's just tough in this economy for sure," said Keane.
According to President Obama, the average student will have a 25,000 dollars worth of loan debt by the time they leave college, and in Iowa it's even higher. He says Americans now owe more on their student loans than they do on credit cards, and that he understands what these students are going through.
"That money that could be going into businesses, is going just to service debt. And as I said this is personal for me, I know something about this because Michelle and I went through it, and it wasn't that long ago, we've been in your shoes," said President Obama.
Shoes that students like Michelle and Matt, hope they can afford to fill.
"My family and I are struggling enough to get me through college, and my siblings through college now, and if it went up, if it doubled or something, I don't know... and I'm fortunate, so I don't know what a lot of people who aren't so fortunate would be able to do," Keane said.
