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Saving money on college loans: President changing programs to help millions (all forgotten @ 20yrs?)
Fox 43 ^ | 10/26/11 | Michael Gorsegner

Posted on 10/26/2011 5:07:14 AM PDT by Libloather

Saving money on college loans: President changing programs to help millions
Michael Gorsegner - Staff reporter
6:44 a.m. EDT, October 26, 2011

SPRING GARDEN TOWNSHIP, YORK COUNTY— College is known as an investment in the future. But that investment is becoming a burden for many students. The President will announce some changes today that could lower the amount students pay for student loans.

**SNIP**

Graduates qualifying for the "Pay as You Earn" program will have to pay 10 percent of their discretionary income for up to 20 years. If there is still a balance after that time frame, the remaining due would be wiped away. Those requirements are dropping from the 15 percent for up to 25 years in place now. White House advisors saying, these tough economic times call for tough budget decisions.

"We have got to reign in wasteful spending. We have got to cut our budget and in some cases we have to stop spending on things we care about just because we can't afford them anymore," said Barnes.

According to the White House, both changes to these existing programs could help over 7 million people decrease their payments. But, the time to act is soon. To qualify for the debt consolidation, students need to register between January and June.

The decreases are not supposed to cost taxpayers anything. The money saved by people in the debt consolidation program will be offset by the administrative costs of processing one payment instead of several payments by borrowers.

(Excerpt) Read more at fox43.com ...


TOPICS: Crime/Corruption; Extended News; Government; News/Current Events
KEYWORDS: loan; obama; payments; student
Can the rookie Hussein wave that magic wand over 30 year mortgages?
1 posted on 10/26/2011 5:07:25 AM PDT by Libloather
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To: Libloather

Blatant bribery for votes - parents and students.

Disgraceful.


2 posted on 10/26/2011 5:12:14 AM PDT by sodpoodle (Cain - touching the better angels of our nature.)
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To: Libloather
Discretionary income, I'm sure Bambi has a new definition of that as well, big ZERO. Hence no one pays a dime.
3 posted on 10/26/2011 5:13:31 AM PDT by DAC21
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To: Libloather

Get rid of every “fill in the blank” studies program.

Take 90 present of the donations from Ivy League schools and send that to state schools. (gotta share in the weath)

Fire every teaching assistant. Or every teacher with one.


4 posted on 10/26/2011 5:13:38 AM PDT by EQAndyBuzz (I am a Cainiac)
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To: Libloather

Where are the gouging investigations of colleges and universities? They jacked up their tuitions and fees and looted tax payers via the student loan program.


5 posted on 10/26/2011 5:14:48 AM PDT by rhombus
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To: Libloather

Where are the gouging investigations of colleges and universities? They jacked up their tuitions and fees and looted tax payers via the student loan program.


6 posted on 10/26/2011 5:15:03 AM PDT by rhombus
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To: Libloather

Where are the gouging investigations of colleges and universities? They jacked up their tuitions and fees and looted tax payers via the student loan program.


7 posted on 10/26/2011 5:15:20 AM PDT by rhombus
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To: Libloather

Who’s going to lend money under these conditions?


8 posted on 10/26/2011 5:17:35 AM PDT by nuconvert ( Khomeini promised change too // Hail, Chairman O)
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To: Libloather
The decreases are not supposed to cost taxpayers anything. The money saved by people in the debt consolidation program will be offset by the administrative costs of processing one payment instead of several payments by borrowers.

That sounds like a dream world.

One question I have (to clarify for myself) is, are they just lowering the minimum payments that people have to pay per month to their loan repayments?

9 posted on 10/26/2011 5:18:14 AM PDT by justice14 ("stand up defend or lay down and die")
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To: Libloather

If we didn’t have the enormous government-university complex, government subsidies for higher education, and iron-fist democrat control of higher-ed institutions in the first place, college would be affordable and we wouldn’t need any of these democrat “fixes” to the very problem they created. In other words, we’d have the higher-ed system that was in place up until about 1970 that worked just fine.

But today’s college-age children and their parents really don’t know why higher education is so unaffordable.


10 posted on 10/26/2011 5:19:29 AM PDT by ProtectOurFreedom
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To: Libloather

sounds like baloon payments. big problem still remains. no justification for college education at all since no jobs are avaiilable. no way to pay back the loan.


11 posted on 10/26/2011 5:26:08 AM PDT by television is just wrong
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To: nuconvert

The fed gov of course, using money from obama’s stash!


12 posted on 10/26/2011 5:27:09 AM PDT by goodwithagun (My gun has killed fewer people than Ted Kennedy's car.)
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To: Libloather; ding_dong_daddy_from_dumas; stephenjohnbanker; DoughtyOne; calcowgirl; Gilbo_3; ...
RE :"Graduates qualifying for the "Pay as You Earn" program will have to pay 10 percent of their discretionary income for up to 20 years. If there is still a balance after that time frame, the remaining due would be wiped away. Those requirements are dropping from the 15 percent for up to 25 years in place now. White House advisors saying, these tough economic times call for tough budget decisions ............... The decreases are not supposed to cost taxpayers anything. The money saved by people in the debt consolidation program will be offset by the administrative costs of processing one payment instead of several payments by borrowers."

Where is the funding for this coming from? The CR recently passed into law?

13 posted on 10/26/2011 5:33:06 AM PDT by sickoflibs (Cain :"My parents didn't raise me to beg the government for other peoples money")
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To: nuconvert
Who’s going to lend money under these conditions?

The government. Remeber, they took over the student loan business under Obama.

14 posted on 10/26/2011 5:33:15 AM PDT by Go Gordon
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To: rhombus
Where are the gouging investigations of colleges and universities? They jacked up their tuitions and fees and looted tax payers via the student loan program.

******

Just wondering: How did President Obama pay his way through first Occidental College in California and then Columbia in New York?

President Obama says he paid his way using student loans, as I understand it, but are there any public records of Obama's student loans?

Controversy: Did Occidental student Obama say he was a foreign student so that he could take advantage of loans that were only available to foreign students?

Did student Obama receive any type of scholarship at Occidental?

If student Obama used student loans to pay his way at Occidental, did he pay it back? When did he pay it back, if he did?

I wish someone would put pressure on President Obama to explain how he paid his way at Occidental College and Columbia, when there is no record that he had a job while attending those colleges.

15 posted on 10/26/2011 5:34:57 AM PDT by john mirse
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To: john mirse

-——are there any public records of Obama’s student loans?-——

Or in the manner of Chris Dodd’s sweetheart mortgages from Countrywide, are there any records the loans were actually ever repaid?


16 posted on 10/26/2011 5:39:21 AM PDT by bert (K.E. N.P. +12 ..posted from the great river road)
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To: Libloather
FAQ page at ed.gov. Looks like it would leave the government on the hook for what is "forgiven".

Embedded within it is a 10 year loan forgiveness for people under the Public Service Loan Forgiveness, which will "forgive" (ie, the feds pick up the tab), if you work in "public service" (ie, fed/state/local government employee) full time for 10 years. This sounds like a bribe for Obama voters.

17 posted on 10/26/2011 5:42:40 AM PDT by PapaBear3625 (When you've only heard lies your entire life, the truth sounds insane.)
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To: nuconvert

“Who’s going to lend money under these conditions?”

You are. Assuming you are a taxpayer or a bank fee-paying customer or both.


18 posted on 10/26/2011 5:47:16 AM PDT by silverleaf (Common sense is not so common - Voltaire)
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To: Libloather

Keep encouraging irresponsibility you effing leftists.


19 posted on 10/26/2011 5:50:13 AM PDT by crosshairs (Liberalism is to truth, what east is to west.)
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To: Libloather

“The decreases are not supposed to cost taxpayers anything.”

Bwahaha!!!


20 posted on 10/26/2011 5:50:28 AM PDT by 9YearLurker
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To: Libloather

This guy has real knack for economics. When you are piling on debt, hemmoraging cash and running out of credit, what do you do? Well of course, DEFAULT ON YOUR RECIEVABLES!


21 posted on 10/26/2011 6:21:19 AM PDT by When do we get liberated? (A socialist is a communist who realizes he must suck at the tit of Capitalism.)
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To: Libloather

Would that he could. The reality is there is no magic. Someone is going to take a hair-cut on these student loans. Perhaps Great Leader is so used to printing money he now thinks debt can just as well disappear.


22 posted on 10/26/2011 6:35:02 AM PDT by AD from SpringBay (We deserve the government we allow.)
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To: Libloather
"Graduates qualifying for the "Pay as You Earn" program will have to pay 10 percent of their discretionary income for up to 20 years. If there is still a balance after that time frame, the remaining due would be wiped away."

Titheing to the government.

THIS should work out OK ... /s.

23 posted on 10/26/2011 6:57:17 AM PDT by knarf (I say things that are true ... I have no proof ... but they're true)
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To: AD from SpringBay
Someone is going to take a hair-cut on these student loans.

The Libs have convinced themselves that the macroeconomic benefits of wiping out student loan debt will be greater than those of tax cuts. All that extra money for consumers to circulate in the economy, plus all the hiring and building to be done on college campi, and of course the increased earning power of those degrees. Why, it will virtually pay for itself.

I would add a /sarc except I think they mean it.

24 posted on 10/26/2011 7:18:12 AM PDT by Buckeye McFrog
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To: knarf
"Graduates qualifying for the "Pay as You Earn" program will have to pay 10 percent of their discretionary income for up to 20 years. If there is still a balance after that time frame, the remaining due would be wiped away."

Let's say the average pay over that 20 years is $50,000. Ten percent of that over 20 years is $100,000. That encourages students to take on more than that, and it encourages Ivy League schools to charge even more in tuition.

25 posted on 10/26/2011 8:19:14 AM PDT by VanShuyten ("a shadow...draped nobly in the folds of a gorgeous eloquence.")
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To: Libloather
Graduates qualifying for the "Pay as You Earn" program will have to pay 10 percent of their discretionary income for up to 20 years. If there is still a balance after that time frame, the remaining due would be wiped away.

After 20 years all the debt is forgiven? WOW, Just WOW - I wonder how on earth Obama has this authority and how much potential cost is involved.

26 posted on 10/26/2011 8:36:35 AM PDT by motivated
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To: sickoflibs

maybe we can roll the student loans together with the new bambam mortgage re-fi and let America pay us for a change...??? /only half sarc...heheheheh...


27 posted on 10/26/2011 8:39:22 AM PDT by Gilbo_3 (Gov is not reason; not eloquent; its force.Like fire,a dangerous servant & master. George Washington)
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To: Gilbo_3
RE :"maybe we can roll the student loans together with the new bambam mortgage re-fi and let America pay us for a change...??? /only half sarc...heheheheh..."

Time to stop paying our mortages and go to college per student loans.

28 posted on 10/26/2011 8:48:54 AM PDT by sickoflibs (Cain :"My parents didn't raise me to beg the government for other peoples money")
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To: sodpoodle

the joke will be on everyone who takes advantage, as the IRS will hit them with a tax bill the year after the loans are forgiven

the IRS considers that forgiveness “income” and taxes you accordingly


29 posted on 10/26/2011 8:54:45 AM PDT by Abundy
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To: Abundy

They get you coming and going. 20 years of interest to the Government, remaining principle forgiven taxed at 40 to 50% (Fed, FICA, SS/MED). Indentured servants to the Master Government for life.


30 posted on 10/26/2011 9:24:50 AM PDT by poobear (Facts, the TURD in the punchbowl of Liberal thought!)
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To: Libloather

This involves spending revenue. How does he do it without congress?


31 posted on 10/26/2011 12:23:32 PM PDT by FreeAtlanta (Fight for Liberty)
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To: sickoflibs
"Where is the funding for this coming from? The CR recently passed into law?"
Looks like it is hat trick time.
32 posted on 10/26/2011 12:34:13 PM PDT by Marine_Uncle (Honor must be earned.)
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To: crosshairs

Throw in class credit for time spent smoking dope at the local OWS protest and little Johnny’s $300k tax-payer-financed basket weaving degree from Ivory Tower University is money well spent indeed.


33 posted on 10/26/2011 3:22:34 PM PDT by Callahan
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