In 2011 college students took out $112 BILLION in college loans, doubling the amount taken out just a decade ago. To combat the over-bearing debt congress had frozen the interest rates on student loans at 3.4%, but that freeze is set to expire this July, doubling the interest rates of an estimated seven million students.
The Democrats presented a Bill in the Senate on May 8th that would keep those interest rates frozen by raising Social Security and Medicare payroll taxes on high-earners like stockholders of S Corporations who classify their pay as dividends, not cash income - essentially cutting their tax rate in half.
Sixty votes were needed to begin the debate on the Bill, but without a SINGLE Republican voting for it, including Wisconsin's own Millionaire Senator Ron Johnson, it was dead upon arrival and the interest rates will double this Summer.
"So what?" You ask... well, Americans now owe over one TRILLION dollars in student loan debt - a debt that has surpassed credit card debt for the first time in our nation's history. And do Republicans care? Hell no - they would rather protect the booming bank accounts of wealthy stockholders than the measly checking accounts of college students.
Senate Majority Leader Harry Reid said that this vote sends the message to Americans that "Republicans would rather protect wealthy tax-dodgers" than struggling students. In agreement, the White House released a statement saying, "It is extremely disappointing that Republicans in the Senate today voted to ask millions of students to pay an average of $1,000 each in order to protect a loophole that allows millionaires to dodge payroll taxes."
Senator Ron Johnson (Tea-Bagger Party) was a speaker this weekend at the Wisconsin Republican Convention where the touted Scott Walker and asked people to vote for him in his recall election. We all know Walker and Johnson are cut from the same slimy mold that was forged by ALEC and that these guys have one thing in mind - CUT TAXES.
Okay, Walker's budget did cut my taxes...by a whopping $29. But the same narrow-minded agenda that cut my property taxes just produced a $2,000 college loan interest burden onto my kids. I have two children who I assume will go to college, so that extra $2,000 the GOP just gave snatched came from their pockets (and yours kids' pockets too) then promptly placed it right into the hands of rich stockholders - who obviously need it more than our children, right?
The problem here is that stockholders don't create jobs - never have, never will...They just eat up the profits of someone else's labor, claim a measly 15% on their "earnings" and let the interest collect on some off-shore account, denying Uncle Sam his fair share.
So to me it is obvious that guys like Scott Walker and Ron Johnson (who relied on low-interest government loans to produce his millions) care a hell of a lot more about the interests of the uber-wealthy than the uber-average.
And the chances are that about 99% of you reading this blog just got screwed by the GOP in same rear-ended way that my family did, but only about half of you will actually take a stand and vote against greed by recalling corporate puppet and Hair Club For Men candidate, Scott Walker.
To be fair, the GOP did submit a Bill in the House to keep the loan rates frozen, but their plan paid for it by taking $ directly from the "Affordable Care Act" that allows college students to stay on their parent's insurance until the age of 27 - in essence robbing Peter to pay well, Peter...?!?!?!?!
Scott and Ron - you can have my $29 in property taxes back if you re-invest it in education for my children, because unlike you selfish bastards - I care more about my kids' future than my personal checking account.