SPRINGFIELD, Ill. – A new law backed by state Rep. Diane Pappas, D-Itasca, will generate more opportunities for higher education and make it easier for families to save for college; the measure will go into effect Jan. 1.
“A college education can provide the path to a better life, but right now, it costs far too much,” Pappas said. “Young people are saddled with loans they’ll be paying back often well into their 30s. We need to help ease that burden and make the cost of higher education manageable for working and middle-class students.”
Pappas voted to pass House Bill 2237 to establish the Illinois Higher Education Saving Program. Beginning next month, this program will facilitate college savings for all children born after December 31, 2020 by opening an omnibus account to hold all contributions for higher education savings, all interest earned on those contributions and $50 in seed money for each participating child. All children born to parents who are residents of Illinois are eligible for the program. Pappas supported the measure as part of her efforts to reduce the financial burden that hard-working families throughout the state face and build a stronger Illinois.
“This law will help Illinois families start the savings process so that their kids can better afford higher education,” Pappas said. “Plus, studies have shown that kids with a college savings accounts, even as small as $50, are more likely to attend college and graduate than those without any college savings. Expanding access to higher education for students who are more likely to graduate will help replenish Illinois’ shortage of skilled workers while preparing the next generation of students with the tools for good-paying jobs. Every kid deserves this opportunity.”