The U.S. Senate has approved a bill to lower interest rates on student loans. The Senate voted 81-to-18 to lower the interest rates for undergraduates taking out government loans to three-point-86 percent.
A rate of six-point-eight percent interest on those loans kicked in July first when congress didn't act before the deadline. The new rates would also be retroactive and apply to loans taken out after July first, but are also tied to future rates on the financial markets.
The House is expected to pass the measure by the end of next week. The White House also supports the plan. The measure doesn't apply to loans that students get from private lenders.