Congress Revisits Student Loan Rate Hike: 5 Things to Know for the Week

Simon Zhen

Updated on Mon Jul 14, 2014

After a recent campaign by President Obama to rally support against an upcoming student-loan rate hike, Congress will convene again to vote on plans to extend Stafford loan interest rates under the Stop the Student Loan Interest Rate Hike Act of 2012.

  • Starting this week, HSBC customers will encounter a new website design as they look to log into their accounts. HSBC joins a growing list of big banks that have ditched the outdated site layout that uses little imagery and too much small text. The new visual intends to simplify the entire navigation of the site. However, the online account template did not receive a similar makeover.
  • Barclays will officially launch its new U.S. online banking unit on Monday despite having been accessible for more than a month. The online bank offers an online savings account and selection of certificates of deposit (CDs). The banks says it will offer mobile apps with remote deposit, which may launch on Monday. Barclays said that it has no plans to build physical branches.
  • April, marked as National Financial Literacy Month, was considered a success, according to a survey by the National Foundation for Credit Counseling. It was not due to more consumers improving their finances, but because more consumers are admitting that they lack personal finance know-how. Nearly 42 percent of adults gave themselves hard grades this year, compared to 35 percent in 2010.
  • On Tuesday, the Senate will vote on whether or not to begin talks on maintaining the current interest rates on federal student loans for 7.4 million students. Without any intervention by lawmakers, the interest is expected to rise from 3.4 percent to 6.8 percent on July 1. Student loans became a primary concern after the Consumer Financial Protection Bureau said that total student loan debt exceeded $1 trillion.
  • Released Sunday, the results of a yearlong study by The Dispatch revealed that credit bureaus are slacking when it comes to repairing errors on consumers’ credit reports. Since credit histories impact many aspects on a consumer’s financial life, errors — big and small — can have lasting, negative effects.

Post a Comment