Gallego, Swalwell Introduce Bill to Provide Student Debt Relief for Young Entrepreneurs
WASHINGTON, DC – Today, Rep. Ruben Gallego (D-AZ), Rep. Eric Swalwell (D-CA), and Rep. Deb Haaland (D-NM) introduced the Relief and Investment for Student Entrepreneurs (RISE) Act. The bill will make it easier for millennials to launch new business ventures by offering a 3-year deferment period for federal student loans, interest-free, to entrepreneurs who have recently earned a college degree. The bill also incentivizes job creation in economically-challenged communities by enabling young people who start businesses in those areas to receive up to $17,500 in student loan relief.
Outstanding student loan debt in the United States totals over $1.5 trillion and can impose a significant burden for those trying to start new businesses. Entrepreneurs with more student debt are more likely to fall behind on their student debt payments. Meanwhile, entrepreneurship plays a vital role in the growth of the U.S. economy and companies less than five years old create an average of 1.5 million new jobs for Americans each year. By reducing barriers to starting new businesses, this bill will allow more young entrepreneurs to contribute to this important sector of our economy.
Rep. Ruben Gallego said, “For far too many young people, crushing student loan debt has put the dream of starting a small business on hold. By relieving some of that burden, we can help grow our economy and bring new jobs to areas where Americans are struggling to find work. That’s why I’m proud to reintroduce the RISE Act. Entrepreneurship has long been a driving force in our economy, and we shouldn’t let student debt stand in the way of job creation.”
Rep. Eric Swalwell said, “For far too long, crushing student loan debt has sidelined an entire generation of Americans and has prevented them from starting a business or buying a home. The RISE Act helps to reignite the entrepreneurial spirit found in many young Americans and encourages them to pursue new business opportunities by relieving the burden of student loan debt. I stand with Rep. Gallego as he reintroduces this bill and keeps pushing for a more equitable and affordable system.”