Trump and Student Loans

[MolarBear_]

I didn't vote for Trump, but this could be good news for us.

https://www.washingtonpost.com/news...-laid-out-a-pretty-radical-student-debt-plan/

Thoughts?

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[blablabla1]

I wonder if he's actually going to try to get that passed. Trump says a lot, but we'll have to give him some time to see whether he'll actually act on it or if he's just all talk.

 

[savage_mode]

i'm not a big fan of donald, but if he passed that bill i'm allin with trump.

 

[Incis0r]

I didn't vote for Trump, but this could be good news for us.

https://www.washingtonpost.com/news...-laid-out-a-pretty-radical-student-debt-plan/

Thoughts?

I hope this comes through for you guys. It'd be such a blessing.

That said, I'm reading reports that PSLF, a program that COMPLETELY FORGIVES YOUR LOANS IN 10 YEARS, (having been passed into law in 2007) could face a cap on forgiveness at ~$60K or less, and some are even calling for its repeal.

Since you can only apply for PSLF after making 10 yrs of minimum monthly payments, you are not "grandfathered" into PSLF.

So just as that program could be rescinded, so could Trump's plan.

 

[Viva Terlingua]

Even if the plan gets put into motion, other loan forgiveness programs will certainly be cut. I doubt it will change much to address the problem, overall.

Hopefully somebody sorts it out soon, because the student loan bubble will tank the economy once it finally bursts. I don't have faith that it can be accomplished at the political level, though.

 

[blablabla1]

i'm not a big fan of donald, but if he passed that bill i'm allin with trump.

I can't see a super conservative congress passing this. I bet they would be furious that Trump would even try to get something like that passed. Regardless, I'd be all in as well

 

[savage_mode]

if they can give all these big banks trillion of dollars in bailout money, they can easily pass this bill if they wanted to. if they are holding students responsible for burrowing money for education, they need to hold these too big to fail banks responsible for making unwise business decisions that almost put our country into bankruptcy. why should we be responsible for our loan to further our education and the rich get trillion of bailout dollars for their fail business.

 

[Rand627]

Is that 12.5% supposed to be post tax or pretax income?

Say we make 150 grand, thats basically 19k per year towards loans if it's pre-tax. That would leave about 70k after tax/after loan payments per year which isn't bad. If it's after taxes though it cuts the payments down to more like 12k which would put an extra 7k per year in our pocket.

 

[deleted696582]

This article is from mid-October, so Trump has probably formed new opinions on student loan debt since then.

 

[Redtwogreen]

I didn't vote for Trump, but this could be good news for us.

https://www.washingtonpost.com/news...-laid-out-a-pretty-radical-student-debt-plan/

Thoughts?

We actually blogged about this issue today. In practical terms, I can't imagine this succeeding because he has not set forth a clear plan on how to fund it (though it would be GREAT for people in our student loan situation)

 

[Redtwogreen]

I can't see a super conservative congress passing this. I bet they would be furious that Trump would even try to get something like that passed. Regardless, I'd be all in as well

Given that Obama approved changes to IBR without passing it through Congress, it is likely that Trump can/would do so as well.

 

[Redtwogreen]

Is that 12.5% supposed to be post tax or pretax income?

Say we make 150 grand, thats basically 19k per year towards loans if it's pre-tax. That would leave about 70k after tax/after loan payments per year which isn't bad. If it's after taxes though it cuts the payments down to more like 12k which would put an extra 7k per year in our pocket.

I feel like you have probably thought this through more than he has.

 

[doktorinprogres]

This article is from mid-October, so Trump has probably formed new opinions on student loan debt since then.

I think pretty much anything he said before the election was over can be thrown right out the window. He said a lot of things just to get elected (all politicians do)

 

[deleted696582]

I think pretty much anything he said before the election was over can be thrown right out the window. He said a lot of things just to get elected (all politicians do)

Sure, but I think he's likely to stick to some of his core convictions. Student debt will probably not be a concern under his administration.

 

[MolarBear_]

At least we have PAYE/REPAYE if this doesn't work out.