Free Republic
Browse · Search
News/Activism
Topics · Post Article

Skip to comments.

Relief From Student Loan Debt for Public Service Workers
New York Times ^ | September 10, 2013 | ANN CARRNS

Posted on 09/11/2013 12:38:49 PM PDT by reaganaut1

Raha Wala, a 30-year-old lawyer for an international human rights organization, is facing $200,000 in student loan debt. But if all goes according to plan, most of that burden will be forgiven after 2020 under a federal program aimed at helping those who enter public service jobs.

“It’s enabling me to do the work that I love,” said Mr. Wala, who graduated in 2010. “It wouldn’t be possible, otherwise.”

The federal government is trying to encourage more participation in the Public Service Loan Forgiveness program, which was created in 2007. The program and other debt assistance options have been underused because of complex rules and sometimes conflicting benefits.

Last month, the Consumer Financial Protection Bureau created a tool kit for employers — like nonprofits, school systems and police and fire departments — to help make their workers aware that they may be eligible. The public service program allows those with high student loan balances relative to their income to have the balance of their loans canceled if they work in government or nonprofit jobs for 10 years.

Mr. Wala hasn’t calculated exactly how much the forgiveness program will save him, but he expects it could be many thousands of dollars. “I definitely am looking at it as something that will have to happen, if I want to maintain a stable lifestyle,” he said.

The program works best with income-driven student loan repayment programs — options that let you make lower loan payments based on your pay. (That’s because if you stayed on the standard 10-year loan repayment plan and made all your payments on time, you wouldn’t have any loan balance to forgive.)

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


TOPICS: News/Current Events
KEYWORDS: ibr; incomebasedrepayment; studentloans
Why is working for the government more noble than producing something pay for with their own money? Only an opposition party led by incompetents could fail to make an issue of this scam.
1 posted on 09/11/2013 12:38:49 PM PDT by reaganaut1
[ Post Reply | Private Reply | View Replies]

To: reaganaut1

In other words: bill the taxpayer.

Again.


2 posted on 09/11/2013 12:40:34 PM PDT by Jack Hammer (American)
[ Post Reply | Private Reply | To 1 | View Replies]

To: reaganaut1

It’s just another ploy for people to WANT TO WORK FOR GOVERNMENT! All this does is destroy the private sector.


3 posted on 09/11/2013 12:41:29 PM PDT by FreedomStar3028
[ Post Reply | Private Reply | To 1 | View Replies]

To: reaganaut1
So if you become an obama bureaucrat you can have me pay off your student debt?

Afterall, why not? I'm paying your salary, your pension & your non-obmacare health insurance.

Perfect.

4 posted on 09/11/2013 12:41:56 PM PDT by Pietro
[ Post Reply | Private Reply | To 1 | View Replies]

To: reaganaut1

Google him ... the lefty wants a free ride.


5 posted on 09/11/2013 12:42:32 PM PDT by knarf (I say things that are true ... I have no proof ... but they're true)
[ Post Reply | Private Reply | To 1 | View Replies]

To: reaganaut1

Amazing. It seems like a majority of stable jobs that pay well and provide benefits are in the public sector. To that they want to add student loan forgiveness?


6 posted on 09/11/2013 12:43:14 PM PDT by grania
[ Post Reply | Private Reply | To 1 | View Replies]

To: reaganaut1

Government workers (an obvious oxymoron) who have student loans outstanding should be docked 10% of their salary until it’s paid back.........


7 posted on 09/11/2013 12:44:22 PM PDT by Red Badger (It is dangerous to be right in matters where established men are wrong. .....Voltaire)
[ Post Reply | Private Reply | To 1 | View Replies]

To: reaganaut1

Of the 16.7 trillion dollar debt, almost 1 trillion is in student loans.


8 posted on 09/11/2013 12:45:19 PM PDT by Zuben Elgenubi
[ Post Reply | Private Reply | To 1 | View Replies]

To: reaganaut1

Student loans should not come from government

and indentured servitude went out of favor centuries ago


9 posted on 09/11/2013 12:46:22 PM PDT by GeronL
[ Post Reply | Private Reply | To 1 | View Replies]

To: reaganaut1

Oh, yes! Because government and public sector workers don’t already make enough in combined salary, benefits and pension packages with their guaranteed job security.


10 posted on 09/11/2013 12:46:32 PM PDT by AtlasStalled
[ Post Reply | Private Reply | To 1 | View Replies]

To: reaganaut1

“It’s enabling me to do the work that I love,” said Mr. Wala, who graduated in 2010.

. . . of course the taxpayers must subsidize the work that Mr. Wala loves!


11 posted on 09/11/2013 12:47:32 PM PDT by AtlasStalled
[ Post Reply | Private Reply | To 1 | View Replies]

To: reaganaut1

I talked to a guy this morning in this program. He’s a psychologist working with (deeply disturbed) poor kids. His $50,000 debt will be forgiven if he works in this program 10 years. But his job is with a private contractor who works for the state. But apparently his low pay (due to this benefit) makes it public service. Color me confused how somebody working on the cheap for a private contractor is performing public service.


12 posted on 09/11/2013 12:49:03 PM PDT by Gen.Blather
[ Post Reply | Private Reply | To 1 | View Replies]

To: reaganaut1

he’s got to keep those voters...


13 posted on 09/11/2013 12:50:36 PM PDT by Doogle (USAF.68-73..8th TFW Ubon Thailand..never store a threat you should have eliminated))
[ Post Reply | Private Reply | To 1 | View Replies]

To: Jack Hammer

She got that worthless degree - good only for govt jobs.

And I have to pay for it?

Bull Obama.

Not to worry, though. When CW-II starts, those disrespected the most will be the first to go.

Which means that civil servants will go right after our congresscritters.


14 posted on 09/11/2013 12:51:17 PM PDT by Da Coyote
[ Post Reply | Private Reply | To 2 | View Replies]

To: reaganaut1
Mr. Wala hasn’t calculated exactly how much the forgiveness program will save him, but he expects it could be many thousands of dollars. “I definitely am looking at it as something that will have to happen, if I want to maintain a stable lifestyle,” he said.

Words fail me.

15 posted on 09/11/2013 12:51:32 PM PDT by workerbee (The President of the United States is DOMESTIC ENEMY #1)
[ Post Reply | Private Reply | To 1 | View Replies]

To: Jack Hammer
“It’s enabling me to do the work that I love,” said Mr. Wala,.....

Well, isn't that special.

16 posted on 09/11/2013 12:52:45 PM PDT by BaylorDad (I can't always buy American, but when I can, it's not UAW!)
[ Post Reply | Private Reply | To 2 | View Replies]

To: reaganaut1

There is the ruling class and there is the peasants. You are a peasant. The ruling class takes care of their own. Now, shut up and pay your taxes. Any more questions?


17 posted on 09/11/2013 12:54:55 PM PDT by Vigilanteman (Obama: Fake black man. Fake Messiah. Fake American. How many fakes can you fit in one Zer0?)
[ Post Reply | Private Reply | To 1 | View Replies]

To: FreedomStar3028
It’s just another ploy for people to WANT TO WORK FOR GOVERNMENT! All this does is destroy the private sector.

Not necessarily. I don't think there's any private sector market for an ethnic grievance studies degree.

18 posted on 09/11/2013 12:55:02 PM PDT by tacticalogic ("Oh, bother!" said Pooh, as he chambered his last round.)
[ Post Reply | Private Reply | To 3 | View Replies]

To: Pietro

Not an Obama bureaucrat. The article says the program began in 2007.


19 posted on 09/11/2013 12:55:52 PM PDT by Piranha (Power is not only what you have but what the enemy thinks you have - Saul Alinsky)
[ Post Reply | Private Reply | To 4 | View Replies]

To: Gen.Blather

If he is willing to work for low pay for 10 years to avoid a $50k bill when he is a practicing and licensed psychologist, then he seems incapable of making it in the private sector.


20 posted on 09/11/2013 12:57:58 PM PDT by Piranha (Power is not only what you have but what the enemy thinks you have - Saul Alinsky)
[ Post Reply | Private Reply | To 12 | View Replies]

To: reaganaut1
"Why is working for the government more noble than producing something pay for with their own money?"

The KEY phrase is "producing something", which government workers do not do....they live off taxpayers, and their mission is to keep living off taxpayers, finding NEW and INCREASED taxes they can implement.

Student Loans, in ALL forms, belong to the benefitted person who used the money for THEMSELVES, and Taxpayers are gonna pay the debts (soon, there will be Amnesty on Student Loans, mark my words).

Socialism/Communism has the goal of having EVERYONE working "for the Common Good", which means the Elite of the Party will decide who gets what, and who pays to make sure we all "share".

21 posted on 09/11/2013 1:01:45 PM PDT by traditional1 (Amerika.....Providing public housing for the Mulatto Messiah)
[ Post Reply | Private Reply | To 1 | View Replies]

To: Jet Jaguar; NorwegianViking; ExTexasRedhead; HollyB; FromLori; EricTheRed_VocalMinority; ...

The list, Ping

Let me know if you would like to be on or off the ping list

http://www.nachumlist.com/


22 posted on 09/11/2013 1:03:05 PM PDT by Nachum (I am Breitbartacus!)
[ Post Reply | Private Reply | To 1 | View Replies]

To: reaganaut1

Freaking marxist bastards!


23 posted on 09/11/2013 1:03:28 PM PDT by Jim Robinson (Resistance to tyrants is obedience to God!!)
[ Post Reply | Private Reply | To 1 | View Replies]

To: reaganaut1

Public service jobs tend to pay less. I took a 25% pay cut to work for the government. The benefits just made it better.


24 posted on 09/11/2013 1:05:06 PM PDT by AppyPappy (Obama: What did I not know and when did I not know it?)
[ Post Reply | Private Reply | To 1 | View Replies]

To: Piranha

2007? That explains much. Congress (both houses) was taken over by who starting in January 2007? This was likely a trailer bill attached to a larger piece of legislation in 2007.


25 posted on 09/11/2013 1:05:42 PM PDT by SoldierDad (Proud dad of an Army Soldier who has survived 24 months of Combat deployment.)
[ Post Reply | Private Reply | To 19 | View Replies]

To: reaganaut1
international human rights organization,

Why is paying American citizens' tax money to foreign organizations beneficial?

26 posted on 09/11/2013 1:06:02 PM PDT by Mike Darancette (The Presidency is broken.)
[ Post Reply | Private Reply | To 1 | View Replies]

To: SoldierDad

And signed into law by President Bush.


27 posted on 09/11/2013 1:07:21 PM PDT by Piranha (Power is not only what you have but what the enemy thinks you have - Saul Alinsky)
[ Post Reply | Private Reply | To 25 | View Replies]

To: reaganaut1
Next, they'll want you to pay for their "dachas" in Maui.

-PJ

28 posted on 09/11/2013 1:08:44 PM PDT by Political Junkie Too (If you are the Posterity of We the People, then you are a Natural Born Citizen.)
[ Post Reply | Private Reply | To 1 | View Replies]

To: Piranha

As an attachment to other legislation, I’m sure. The question is whether Bush new about that bill, or did it slip under the radar. I’m betting the latter.


29 posted on 09/11/2013 1:10:09 PM PDT by SoldierDad (Proud dad of an Army Soldier who has survived 24 months of Combat deployment.)
[ Post Reply | Private Reply | To 27 | View Replies]

To: reaganaut1

This will give community service orgs like Acorn the ability to get a steady stream of graduated students to work for them in order to offset their educational costs.


30 posted on 09/11/2013 1:14:41 PM PDT by wildbill
[ Post Reply | Private Reply | To 1 | View Replies]

To: wildbill

How about this; you get a dollar off your debt for every five dollars you pay in taxes.


31 posted on 09/11/2013 1:19:47 PM PDT by Old North State
[ Post Reply | Private Reply | To 30 | View Replies]

To: reaganaut1
The best relief that students could get is to break up the government student loan monopoly and surrender it to a fully competitive market. That way, students can have more choice and get a rate within a couple of points of the discount rate instead of the sole fixed rate the government now offers.

I am currently paying 2.35% on my student loan. What does the government monopoly offer?

32 posted on 09/11/2013 1:32:43 PM PDT by Hoodat (BENGHAZI - 4 KILLED, 2 MIA)
[ Post Reply | Private Reply | To 1 | View Replies]

To: reaganaut1
This isn't even working for the government. The subject of this article is working for some NGO. This country cannot afford to create another elitist class of bureaucrat wannabes that racked up $200k for a worthless degree from an expensive school. It encourages stupid behavior and we will get more of it.

I can just see these institutions of higher education building out coop arrangements to recruit students and put them straight into the non-productive work force.

33 posted on 09/11/2013 1:35:21 PM PDT by USNBandit (sarcasm engaged at all times)
[ Post Reply | Private Reply | To 1 | View Replies]

To: Piranha
"The federal government is trying to encourage more participation in the Public Service Loan Forgiveness program"

Furthermore, obama has long supported the idea that public "service", ie the bureacracy, is nobler than the greedy private, that would be the productive, sector.

In the example cited we have a lawyer w/ $200K worth of student debt that I'm now on the hook for. Once we erase his debt he'll drop the namby-pamby non-profit he's working for and start after the real money--class-actions against the companies we work for.

It's all too beautiful.

34 posted on 09/11/2013 1:37:12 PM PDT by Pietro
[ Post Reply | Private Reply | To 19 | View Replies]

To: reaganaut1

It’s called”Getting Out The Vote”!!!!!!!!!!!!!!!!!


35 posted on 09/11/2013 1:50:49 PM PDT by bandleader
[ Post Reply | Private Reply | To 1 | View Replies]

To: Pietro

I think the plan was to raise the cost of so-called higher education to a level that hardly anyone could afford, nationalize student loan programs and then set up a system whereby graduates who go into the government or non-profits never pay more than 10% of their salary to repay their loans and have the rest forgiven after 10 years. That way the cost of education is irrelevant and students are pushed into taxpayer-funded jobs.


36 posted on 09/11/2013 2:16:09 PM PDT by Piranha (Power is not only what you have but what the enemy thinks you have - Saul Alinsky)
[ Post Reply | Private Reply | To 34 | View Replies]

To: Piranha

Yes, when the democrats took over, they built this into the appropriations.


37 posted on 09/11/2013 2:33:50 PM PDT by CharlesWayneCT
[ Post Reply | Private Reply | To 19 | View Replies]

To: Jack Hammer

Isn’t that treating people in a unequal manner?


38 posted on 09/11/2013 5:04:43 PM PDT by Mastador1 (I'll take a bad dog over a good politician any day!)
[ Post Reply | Private Reply | To 2 | View Replies]

To: Mastador1

Not unequal. More equal. Some people are more equal than others, but nobody is unequal. If you don’t understand that, perhaps you need some reeducation.


39 posted on 09/11/2013 6:12:26 PM PDT by Clinging Bitterly (I will not comply.)
[ Post Reply | Private Reply | To 38 | View Replies]

To: Clinging Bitterly

Someone tried to reedjumicate me once, I think he’s still broken.


40 posted on 09/11/2013 7:13:09 PM PDT by Mastador1 (I'll take a bad dog over a good politician any day!)
[ Post Reply | Private Reply | To 39 | View Replies]

To: reaganaut1

What percent of Detroit is collecting disability? It’s being used as the new welfare - those folks don’t have to pay back their student loans either.

Only productive citizens are punished.


41 posted on 09/11/2013 8:01:48 PM PDT by GOPJ (Success is not final, failure is not fatal: it is the courage to continue that counts - Churchill)
[ Post Reply | Private Reply | To 1 | View Replies]

To: Nachum

This is BS. Son got a student loan, attended the tech school, they have NO record of him, no grades, yet he has to pay back a loan on a school that has no records of him attending? And Yes he did attend. ITT is a crock of you know what, they teach to the lowest level of their students.


42 posted on 09/12/2013 5:40:46 AM PDT by GailA (THOSE WHO DON'T KEEP PROMISES TO THE MILITARY, WON'T KEEP THEM TO U!)
[ Post Reply | Private Reply | To 22 | View Replies]

To: Old North State

Interesting proposal, but it’s not clear to me why anyone who makes a contract to pay back a loan should get 20% off if he/she is paying taxes, presumably because they have a job.

I obtained two MAs and taught at the University of Houston
after retirement from self-employment.

My observation on the educational system is that there are simply too many students that are encouraged to go into debt for majors that have no value in the regular job market and there are too few jobs in academia to support them and pay off the loans.

It isn’t good policy to encourage debt by any tax policy that rewards bad outcomes.


43 posted on 09/12/2013 10:02:26 AM PDT by wildbill
[ Post Reply | Private Reply | To 31 | View Replies]

To: wildbill
I don’t disagree with you, I just wanted to make the point that if we are doomed to use the tax code to subsidize behavior, let’s at least subsidize the right behavior.
44 posted on 09/12/2013 10:06:54 AM PDT by Old North State
[ Post Reply | Private Reply | To 43 | View Replies]

Disclaimer: Opinions posted on Free Republic are those of the individual posters and do not necessarily represent the opinion of Free Republic or its management. All materials posted herein are protected by copyright law and the exemption for fair use of copyrighted works.

Free Republic
Browse · Search
News/Activism
Topics · Post Article

FreeRepublic, LLC, PO BOX 9771, FRESNO, CA 93794
FreeRepublic.com is powered by software copyright 2000-2008 John Robinson