White House vows to veto approved Republican student loan plan

The United States House of Representatives approved a Republican pursed plan on Friday to keep subsidized student loan interest rates lower for another year, but the White House vowed to veto the measure because it would pay for the extension by taking money from a preventive care fund established by President Barack Obama’s health-care overhaul law. The divergence has ignited an election-year fight on an uncontroversial issue as lawmakers go home for a week-long recess and President Obama and presumptive Republican presidential nominee Mitt Romney continue campaigning across the country.

Roughly 7 million student borrowers could see rates on student loans jump from 3.4 to 6.8 percent when the current rates expire on July 1. President Obama raised the issue during campaign-style appearances last week at college campuses in key battleground states as he urged Republicans to join Democrats in quickly extending the low rates for another year. Romney was in agreement with the president, however, Speaker of the House, John Boehner, R-Ohio, was not. “Why do people insist that we have to have a political fight on something where there is no fight? There is absolutely no fight. People want to politicize this because it’s a political year. But my God, do we have to fight about everything? And now we’re going to have a fight over women’s health. Give me a break.” House Minority Whit Steny Hoyer, D-Md., said, “This bill goes in the wrong direction trying to do the right thing.”