Maya.Brod@younginvincibles.org 202.339.9354 (w)
New Initiatives will Help a Generation Climb Out of Debt
[Washington, DC] – President Obama announced two new proposals to ease the burden of student loan debt. Young Invincibles commends the Administration’s steps to help millions of young people as they struggle to pay for their college education.
One proposal would push up the start date for more favorable terms on a special loan repayment program based on income, allowing an estimated 1.5 million young people to cap their loan payments at 10 percent starting next year, and forgive their remaining debt after 20 years of payments. Another measure would encourage graduates with two kinds of federal loans (Direct Loans and FFEL) to consolidate them and get a break on interest rates. The proposals would work in conjunction with the income-based repayment program (IBR) that has existed since 2009, a program with about half a million enrollees that could ease monthly payments for millions more students. Click here to read more.