Campaign 2010

Jun 06, 2012

THIS MORNING - Tea Party Jesse Kelly Says Let Student Loan Rates Go Up

During a national media interview this morning, Tea Party candidate Jesse Kelly admitted that he would let interest rates on student loans double on July 1st if he were in Congress. There are 521,128 Arizona students relying on student loans and students would pay an additional $408 million in interest if rates doubled. While Kelly stalls on protecting families from student loan rates doubling, he still supports more tax breaks for millionaires and would make corporations pay no taxes.

Rates for student loans will double from 3.4 percent to 6.8 percent if Republicans in Congress fail to act at the end of this month. Two-thirds of all college students graduate with student loan debt and the average college graduate has $25,000 in student loan debt.

“There could be no worse time for Arizona families on already tight budgets to see their student loan rates double, but Tea Party Jesse Kelly would let the rates double costing Arizona families $408 million,” said Jesse Ferguson of the Democratic Congressional Campaign Committee. “While Jesse Kelly supports more tax breaks for millionaires and would have corporations pay no taxes at all, he would let student loan rates double, making it harder for Americans to get a fair shot at an affordable college education.

BACKGROUND

TODAY: Kelly Said He Would Let the Student Loan Rate Double. During an interview this morning with Chuck Todd on MSNBC, Jesse Kelly “said the GOP should wait to address student loans until Congress acts on a debt ceiling increase and the lapse of the Bush-era tax cuts, expected to come up after November's election […] ‘What I can say, I say the same thing the Speaker of the House is saying right now: deal with that retroactively. Deal with the huge problems right now,’ Kelly said.” [The Hill, 6/6/12]

521,128 Arizona Students Will Pay an Additional $408,262,174. In July, interest rates on need-based loans are set to double from 3.4 percent to 6.8 percent. Unless House Republicans act, 521,128 Arizona students will pay an additional $408,262,174 for their education. [San Francisco Chronicle, 6/1/12; DPC, accessed 6/6/12]

Would Extend More Tax Cuts to the Wealthiest Americans. In August 2010, Kelly said he would not allow the Bush tax cuts to expire at the end of 2011. [Green Valley News & Sun, 8/18/10]

Called for Lower Taxes for the Top 10%. In April 2010 at the UA Republican Club Debate, Kelly called for lower taxes for the top 10% in the country, arguing they already pay most of the tax burden. [UA Republican Club Debate, 4/08/10]

Zero Taxes for Corporations. At the Saddlebrooke candidate forum in January  2010,  Kelly said, “The corporate tax rate should be zero. … We must get the corporate tax rate to zero.” [Saddlebrooke Republican Club Debate, 1/07/10]


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