U.S. Sen. Elizabeth Warren is planning to file a bill to let students refinance their old loans at a new lower rate.
Warren said she wants to ease the loan burden that she says is burying graduates in debt and stifling economic growth.
Warren said it's important to let students with old, high-interest loans take advantage of lower rates now being offered to students under a new federal law this year.
An undergraduate student who took out an unsubsidized federal loan before July 1 is paying almost 7 percent interest, Warren said. After July 1, that borrower would pay just under 4 percent.
She said most borrowers who took out loans in the last decade are paying much higher rates than they would if they took out those loans today, making it harder to buy homes and cars and save for retirement.