Student Loan Interest Rates

Open email to Sen. Cruz (TX):

Dear Sen. Cruz,
    Thank you for your form letter on student loan interest rates.
    You said you joined with Democrats and Republicans to support a step in the direction of market-based solutions, voting for legislation that would tie those rates to the value of U.S. Treasury securities each year, rather than allowing Congress to set them at an arbitrary percentage.    This would presumably increase the student loan interest rate to something higher than the previous 3.4%, but that is not clear.
    While this is a step in the direction of market-based solution, as you claim, it is not sufficient. Student loan interest rates should be consistent with lending rates in the general market. While this will give a higher interest rate, it will also discourage unnecessary borrowing, on the part of students to obtain college degrees which in many cases will be of no significant value. The market is already flooded with college graduates who cannot find jobs equivalent to salary payments which would allow them to pay off their student loans in a practical manner. In effect, low student loan rates have done damage to the educational system, and should be stopped as soon as possible.