[On Wednesday, 10/06/21] the U.S. Department of Education announced an overhaul of the Public Service Loan Forgiveness (PSLF) Program that it will implement over the next year to make the program live up to its promise. This policy will result in 22,000 borrowers who have consolidated loans—including previously ineligible loans—being immediately eligible for $1.74 billion … Continue reading
Tagged with student loans …
Student Loans Are Poorly Aligned With Graduate Earnings
Student-loan payments are the bane of many new graduates. A recent analysis by the Brookings Institution explains why: The typical new graduate is likely to devote 14 percent of his or her paycheck to student loans. That’s about half of what the average American spends on housing each month. It’s even worse for students who graduate with … Continue reading
Problem With Online Fafsa Makes Some Low-Income Filers Look Like Millionaires
An update to this year’s federal student-aid application is making some low-income filers look like millionaires—and could cost some their federal student aid. The problem with the online Free Application for Federal Student Aid has already affected thousands of borrowers, and is likely to affect more in the future, Jeff Baker, policy liaison at the … Continue reading
As Stricter Default Standard Looms, Community Colleges Brace for Impacts
Starting this fall, colleges will be held to a higher standard for keeping their student-loan borrowers out of default, and that has some student-aid administrators very nervous. Colleges that fall short could lose their eligibility to award federal student aid, the lifeblood of most colleges. That looming threat made managing default rates a hot topic … Continue reading
A Guide To Student Loan Forgiveness And Repayment Options
Wish you could make your student loans disappear? Student loan forgiveness programs can make it happen, but there’s a problem. “There needs to be more awareness about these programs,” says Betsy Mayotte, director of regulatory compliance at American Student Assistance, a nonprofit that helps borrowers manage their student debt. So the organization released a student … Continue reading
Elizabeth Warren Calls For Big Changes To Student Loans
College graduates struggling to repay their student loans should have an easier time getting their debt eliminated if they go into bankruptcy, Sen. Elizabeth Warren (D-Mass.) said Saturday. Warren laid out several reforms to address the rising costs of higher education in a speech at the Education Writers Association’s Conference on Higher Education, held at … Continue reading
The Burdens of Working-Class Youth
Brandon, a 34-year-old black man from Richmond, Va., labels himself “a cautionary tale.” Growing up in the shadow of a university where both his parents worked in maintenance, he was told from an early age that education was the path to the “land of milk and honey.” An eager and hard-working student, Brandon earned a … Continue reading
Why Men Are More Likely to Drop Out
As student debt levels continue to rise, more college students are facing a critical decision: Borrow more or drop out? Men and women appear to be reaching different conclusions. Moderate levels of debt can actually help students graduate by allowing them to work less and study more. But beyond a certain point, the relationship breaks … Continue reading
More California Community Colleges Stop Offering Federal Loans
A small but growing number of California community colleges have stopped participating in the federal loan program, cutting off these borrowing options for students out of fear that rising student loan default rates could lead to sanctions. Some 16 colleges have stopped disbursing the loans, and at least one more school – Bakersfield College – … Continue reading
Consumer Advocates Urge Congress to Make the Private Student-Loan Market More Borrower-Friendly
Borrowers of private student-loans need better, more-flexible options for repaying their debt, consumer advocates and an official with the Consumer Financial Protection Bureau told a U.S. Senate panel on Tuesday. Rohit Chopra, student-loan ombudsman for the bureau, said that Congress should seek to make it easier for former students to modify the terms of their … Continue reading
Professor Van Ry 