Politico reported earlier today that a deal has been reached in order to prevent the interest rates from doubling for millions of student loans across the nation. This comes late in the game, with the deadline looming this Sunday. The deal, hammered out between Senate Majority Leader Harry Reid and Senate Minority Leader Mitch McConnell, would tie the 6 year extension of rates to the highway spending bill. In addition, the deal would stabilize pension contributions, something disrupted during the push for financial de-regulation over the past few decades.

What this means for those encumbered with student debt is the savings of billions of dollars, money which would be freed up for spending in the general economy. The expected growth to GDP from this action is several billion a year. The changes to pension contribution will help shore up a weakened insurance industry, and should avoid many of the pitfalls which have harmed retirement programs for many businesses.