DETAILS LIMITED ON PLAN TO CUT LOAN RATES

Some Missouri schoolteachers wonder why more information is not available regarding a state program to reduce interest rates on student loans.

The Missouri Higher Education Loan Authority, or MOHELA, developed a rate relief program in July to benefit the state's schoolteachers.

Eligible teachers could receive a 2.5 percent reduction in their student loan interest rates, which, in many cases, reduced the interest rate to 6 percent.

Teachers enrolled in an automatic debit payment plan using a checking or savings account could receive another 2 percent interest rate reduction, cutting the interest rate for the loan in half.

John Wild, executive director of the state's loan authority, said earlier the plan would be a benefit to teachers because it would reduce their debt and their monthly payments. The loan authority's staff reached Friday referred all questions about the rate reduction plan to Wild, who was out of the office Friday.

Some teachers said the idea of reducing student loan interest rates was good, but they would like to see the plan in writing and get more details. They expressed surprise that little information has been distributed about a statewide plan that affects a large employee base.

Brenda Woemmel, president of the Cape Girardeau National Educators Association chapter, said she hasn't received information about the interest rate program.

Cape Girardeau Community Teacher Association president Carol Brice also was unfamiliar with the program.

She said, "I'm not aware of any information at all."

Brigitte Loos, a counselor in the Jackson School District, has tried to find information but didn't know where to look. "I think it's very important because in some cases teachers aren't paid very well, anyway," she said.

Loos said the program also would help teachers who need loans to maintain licenses.

She said, "It's hard to pay back those loans when you have to keep updating your education."

Cape Girardeau native Shanna Sides teaches Spanish at Riverview Gardens High School in St. Louis.

Despite a visit to MOHELA's Web site and a phone call to its office, Sides has learned little of program. Her mother read an article in the Southeast Missourian and contacted her.

"The information on the Internet was so vague, that's why I decided to call," said Sides. "The person I spoke with said she didn't have anything written; the only thing she could do was send me a contract. I didn't want to fill out a contract for something I didn't know the specifics about."

Sides was unsure if she'll apply for the program, even if she receives additional information.

She's leery of allowing anyone automatic access to her bank account because "something could happen and you lose some form of control." She said she also expects a state institution to provide more information "than just four paragraphs" about the services it provides.

"My belief is you ought to have something to back it up," said Sides.

335-6611 extension 128