Signal boosting this, because if you have student loans and don’t know about these plans, you should. I qualified for the income-based repayment plan which for now means I pay zero dollars a month. All I have to do is reapply every year to redetermine my monthly payment and keep up on payments (if there are any) and in twenty-five years, even if I have a remaining balance, my debts will be forgiven. So if you’re struggling with payments, or just ignoring the phone every time the loan people call, it might be worth it to check out these programs.
sprinklesmakelifebetter: In the SOTU President Obama addressed making college more affordable for future students, but what will the government due for those already suffering from student loan debt? Are there any loan reform plans on the way in 2015? #AsktheWH
obamawhitehouse:
sprinklesmakelifebetter, thanks for the question! The President has already implemented several programs the help students with student loan debt.
The first two you need to know about are Income-Based Repayment and Pay As You Earn. Both make sure that students are paying what they can afford, and when they can afford it.
Both programs cap payments based on borrowers’ income — and you can learn more about them at StudentAid.gov (which is our federal government’s one-stop shop for all student aid related questions).