Obama is planning to implement a plan to decrease student loans/debt! Yayyyy!! This is wonderful news, if it is actually put into action. I know my student loans are ridiculously large, and that's not including grad school tuition! Quite frankly, I'm one of the 99% (#OWS); I'm not a millionaire...heck... I can't even really be considered a THOUSAND-aire yet. I am still trying to gain the proper skills and training to enter into my desired profession. So, hopefully this plan will be for the better. The plan is supposed to be income-based, and after 25 years, debt forgiveness would kick in (shouts out to that!).
The CNN story states:
"Congress passed a law set to go into effect in 2014 that would drop the monthly payment to 10% of discretionary income and would forgive all debt after 20 years. The Obama administration would improve on the law by fast-forwarding the new terms to take effect in 2012, sources say.
The bright spot for the unemployed is that the monthly payments are based on any income above 150% of the poverty line. For a graduate living alone, the payments would be on 15% of any dollars made above $16,335, based on the 2011 poverty line.
And unemployed graduates with no income would owe no monthly payments on their student loans, education experts say."
So, essentially, there is hope! If you have more than one loan, consider consolidating your loans and set up an income-based repayment plan. I'm sure it would help in more ways than one!
Thoughts on this?
Read more of the article by clicking on the link below:
http://money.cnn.com/2011/10/25/news/economy/Obama_student_loan/?npt=NP1
PLEASE KICK IN!!! I'm due to start making payments in November and already have to try and defer them
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