The Looming Battle over Student Loans

Congress has one month to reach an agreement before interest rates on new federally subsidized student loans double to 6.8 percent.  For once, both Democrats and Republicans see the increase as a problem that needs to be solved. As expected, though, they have very different solutions, each with their own benefits and shortcomings.
 
President Obama emphasizes the importance of college affordability, but a Fidelity Investments survey shows that new graduates are getting stuck with $32,000 in debt  — a staggering sum even before interest costs are included.