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true or false: interests rates on student loans, such as perkins loans, are set by each individual college or university.

User Sharisse
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1 Answer

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22 votes

Final answer:

Interest rates on federal student loans, such as Perkins Loans, are determined by federal law and not by individual colleges or universities. This includes interest rate caps and changes implemented during the Obama administration as part of efforts to manage education costs.

Step-by-step explanation:

The statement that interest rates on student loans, such as Perkins Loans, are set by each individual college or university is false. Interest rates on federal student loans, including the Perkins Loan, are determined by federal law, not by individual institutions. For instance, during the Obama administration, a compromise with Congress in 2013 resulted in lowered interest rates on federal student loans. Additionally, efforts to make higher education more accessible through programs like the Pell Grant and policy measures like the College Scorecard have been part of larger federal initiatives to manage the cost of higher education and the associated debt burden.

User Dst
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