The Least, First

Monte Asbury's blog

Feds offer lower payments on some existing student loans

with one comment

Today’s New York Times includes a story detailing a new payment plan available to people with lower incomes who are paying off student loans.

Perhaps it would be a help to you, or to someone you know.  Here are a few excerpts and links:

clipped from www.nytimes.com

New Plan Ties Reduced College Loan Payments to Income

For the first time in years, there is good news for college students who borrow to pay for their education.
Starting Wednesday, the federal Education Department will begin offering a repayment plan that lets graduates reduce their loan payments, based on their income.
While the interest rate cut applies to new loans, the new repayment option is available to borrowers who took out federal loans or who used a federal consolidation loan to combine their higher-education debts.
The extended payment program, called “income-based repayment,” limits what borrowers have to pay to 15 percent of the difference between their gross income and 150 percent of federal poverty guidelines. After borrowers make payments on loans for 25 years, the balance is forgiven. (The Education Department already offered an “income-contingent” repayment plan, which was similar, but less generous.)
the Education Department has set up a Web site with a calculator
blog it

Reblog this post [with Zemanta]
Advertisements

One Response

Subscribe to comments with RSS.

  1. […] Source:Feds offer lower payments on some existing student loans   […]


Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s

%d bloggers like this: