Section 224 of the College Cost Reduction act eliminates interest capitalization in all instances, which will stop borrowers from seeing their balances grow from ballooning interest despite monthly payments. This provision of the legislation builds upon the work of the Biden administration and the Department of Education to help borrowers avoid spiraling student loan balances. While I'm happy to see this included in the underlying bill, I believe we have an opportunity to provide additional relief for the nearly 1.3 million teachers in loan repayment. (00:13–00:24)
CLAIM
Asserts that the provision builds upon the Biden administration and Department of Education's work to help borrowers avoid spiraling student loan balances.
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