To the Editor:
Conservative politicians say college-loan interest rates should be at market rates.
Banks are lending with no fear of nonpayments. You and I are guaranteeing the loans.
Banks borrow money at 1 percent to 1.5 percent (certificate of deposit and savings rates). Student loans should be at 3 percent, giving banks a 100 percent profit. All guaranteed student loans should be set at 1.5 percent – what banks pay for money.
True market rates.