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Obama’s Move to Help Students
Is Not as Forgiving as It Seems

New York Times, by Anna Bahr

Original Article

Posted By:LittleHoodedMonk, 6/23/2014 11:59:26 PM

If you’re a student loan-burdened recent college graduate putting the final touches on a note to President Obama, thanking him for his recent executive order on debt repayment, don’t get too excited. (Snip) But if you look at the numbers closely, PAYE saves you money only if you borrowed big and earn little. The revised program caps monthly loan payments at 10 percent of discretionary income, defined as income exceeding 150 percent of the federal poverty level for a single person. Well-paid graduates and those working minimum-wage jobs will dedicate equal proportions of their income to paying off debt.

Comments:
0bama is not just lying to those who take out student loans, the eventual (hidden) cost will trickle down to US who pay taxes, as well.

      


Post Reply  

Reply 1 - Posted by: lil dotty, 6/24/2014 12:24:01 AM     (No. 9897407)

It´s best to learn early. READ THE FINE PRINT!

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Reply 2 - Posted by: Spidey, 6/24/2014 3:42:11 AM     (No. 9897450)

The average college student probably doesn´t even realize the evils of compound even if the rate is a flashy 3.5%.

I can see at some point where a college grad takes a crap job just to keep from forking thousands to the government every time they turn around..
It´s just like the Dodd/Frank credit card bill that insisted CC companies show how long it takes to pay the card out making minimum payments. It ought to be common sense that the less you pay,the longer it takes to pay off.

Obama will be be long gone from office before these foolish kids realize what a hell hole they created for themselves when they get hit between the eyes with student loan payments.

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