There is already a lengthy thread on this issue
WWF? Government rewarding bad behavior partII. It is in the political forum and has good analysis of this issue.

If you took loans before 2008, you don't qualify. So, probably most of us on here won't qualify.

And PP ... your parents were lucky enough to be able to save money for your college. Mine were not.

Wow I was about to reply to this thread on "Off Topic" and couldn't find it... makes sense it was moved to "Political."

This is the best explanation of the plan I've seen, from NYT:
http://www.nytimes.com/2011/10/27/your-money/student-loans/explaining-new-federal-student-loan-rules.html

Personally I'm happy those who majored in Chicano studies and 20th Century Writing can now leave occupy San Francisco happy. And I didn't have student loans because my parents were smart enough to save for my college.

Anonymous wrote:

Anonymous wrote:who does it apply for? Do you know what I am talking about? It seems it caps the income base payments to 10% .... anyone here can explain this relief plan better to me? Right now we are paying around 25% of our income monthly and we are so strapped. It would be a HUGE relief if we could get the payments down.

You're welcome. All of us taxpayers who have already paid off our student loans are only too happy to help you out, now that you've discovered that it is really inconvenient to pay back money that no one forced you to borrow.

Just wondering, had this bill come out when YOU were in repayment, would you have said, "Thanks, but no thanks, not fair to the people who paid theirs up before me"? I doubt it. It's a shitty economy, some people need a little help. Congratulations, you didn't.

Anonymous wrote:who does it apply for? Do you know what I am talking about? It seems it caps the income base payments to 10% .... anyone here can explain this relief plan better to me? Right now we are paying around 25% of our income monthly and we are so strapped. It would be a HUGE relief if we could get the payments down.

You're welcome. All of us taxpayers who have already paid off our student loans are only too happy to help you out, now that you've discovered that it is really inconvenient to pay back money that no one forced you to borrow.

They still have to pay it off right? Just being given a longer time to do it? Is it income based?

I can't get behind this. I paid off 100K in student loans, having put myself through school. It sucked to pay it off. It took years. It meant delaying buying a house, starting a family. It dictated what jobs I could or could not pursue. I feel bad for anyone paying off their loans b/c I know exactly how that feels. But, it is not fair that many of us had to pay off our loans and now there should be a break. Unless you go back and retroactively reimburse those of us who struggled a hell of a lot to pay ours, this just isn't right. (By the way, I don't advocate retroactive loan forgiveness, but I think it points out the issues with this.)

Only for federal loans, most borrowers have private loans.

it's a plan or a proposal?

Here's the Department's statement on it:
http://www.ed.gov/news/press-releases/we-cant-wait-obama-administration-lower-student-loan-payments-millions-borrowers

who does it apply for? Do you know what I am talking about? It seems it caps the income base payments to 10% .... anyone here can explain this relief plan better to me? Right now we are paying around 25% of our income monthly and we are so strapped. It would be a HUGE relief if we could get the payments down.