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That'd be a damn welcome break after the 60,000 in student loans I am currently paying off.
I want this do ented...on this date May 8th 2013....Elizabeth Warren is the greatest threat to a Clinton 2016 presidency....
Source: Huffington Post
Read more: http://www.huffingtonpost.com/2013/0...n_3240407.htmlWASHINGTON -- Sen. Elizabeth Warren (D-Mass.) unveiled her first bill Wednesday, designed to set student loan interest rates at the same level the Federal Reserve offers to big banks.
With some student loan rates set to double on July 1 -- from 3.4 percent to 6.8 percent -- Warren's bill would reduce student loan interest rates to 0.75 percent, opening the Fed's discount window to students.
"Every single day, this country invests in big banks by lending them money at near-zero rates," Warren told The Huffington Post. "We should make the same kind of investment lending money to students, who are trying to get an education."
The freshman senator said she plans to mobilize students -- those most affected by student loans -- to help get the bill through the Senate. "This is about their lives and if they are active in this fight, we can make this change," Warren said.
Barring some sort of Weiner scandal, could we be seeing Hillary-Warren ticket in 2016? Hillary better think about it...
That'd be a damn welcome break after the 60,000 in student loans I am currently paying off.
Biden is a way bigger threat to that stupid Clinton kunt.
does that include loans already owed????
That is what I was hoping for. If not, em all. Same rates as me.
imagine how many votes theyd get if it included all federal student loans currently owed.
What does it matter?
Nothing for the people ever makes it through Congress, unless it's for the boomers tbh.
time to expat and declare bankruptcy
Great idea that will never happen, but also something she can point to come election time. (Which could be the real impetus behind the bill)
that.
If we return to the education schools of 50 years ago had, so many jobs could be filled by HS grads.
And if dinosaurs were alive, I'd have to purchase dinosaur insurance for my car.
lenders say the higher student interest rate is because students are higher risks, but most these loans are govt guaranteed (no risk), so the lenders are lying, full of bull , justifying imprisoning students in debt prison for decades to extract wealth from them.
So the bill makes banks give loans at a lower rate? Are they going to offset the difference or just make them lower their interest rates?
Is there a law already in place that banks have to accept loans for college?
the lenders (financial sector), as we see in the housing fraud disaster ripoff, won't budge in any way that is significantly helpful to education debtors. They've booked the (toxic) student loans as revenue, just as they booked toxic mortgages as revenue. They won't change their books.
Last edited by boutons_deux; 05-09-2013 at 11:38 AM.
Policymakers Take Action To Combat The Student Debt Crisis
Total outstanding student debt has climbed past $1 trillion, more than total credit card debt, and a record number of people carry that debt, with the average load standing at $26,000, double what it was in 1995. Meanwhile, the rates on federal Stafford loans are set to double this summer from 3.4 to 6.8 percent.
On Wednesday, Sen. Elizabeth Warren (D-MA) introduced her first standalone bill to address the interest rate hike. In a speech from the floor introducing the bill, she pointed out that banks get access to loans through the Federal Reserve discount window with interest rates at about 0.75 percent. If the government can afford to lend money at that rate to banks, she argued, it should be able to afford to do so to college students who are getting an education and learning skills, which benefits all of us in the long run:
Warren is not the only one looking to take action on the student debt crisis. The Consumer Financial Protection Bureau (CFPB) announced a set of proposals on Wednesday to ease the repayment of private student loans, which usually have higher interest rates and fewer protections than federal loans. It suggested that borrowers who pay on time be allowed to refinance to lower interest rates and that those who fall behind on payments have access to income-based repayment plans. It also urged policymakers to allow the holders of private loans to enter rehabilitation programs to help borrowers exit default and repair their credit that are available to those who have federal loans.
Help could not come too soon. The first three months of this year saw record numbers of Americans defaulting on their student loans, with 6.8 million federal student loan borrowers in default.
And the debt load that hangs over many young graduates has ramifications for the larger economy: Their homeownership rates have plummeted, as many can’t qualify for mortgages or afford the high down payments. In fact, the money spent on paying back student loans could instead be used to buy 155,413 homes. Without such a burden, graduates might instead be able to help push along the housing recovery.
http://thinkprogress.org/education/2...-student-debt/
My bet is that the Repugs will OBSTRUCT any attempt at relief for borrowers.
Great idea, which means it has 0% chance of going anywhere. , Congress is already trying to roll back the weak regulations they put on banks back in 2010. No way in they take any more shots at the banks in the near future.
"Congress is already trying to roll back the weak regulations"
correction: not Congress, but Repugs.
Yeah, seriously. All we need is 1960s knowledge to develop the network engineers and biomedical professionals of the 2010s.
Banks do not give out government backed loans. The Dept of Ed does it directly now.
http://en.wikipedia.org/wiki/Federal...t_Loan_Program
I'm not in favor of this. Students are flat out a larger risk than the banks are which is why the interest rate is higher. Even if the government is the one handing out the loans (which are still at very low rates) no one can argue that a student is a larger risk. I might be in favor if they skew it toward certain degree plans: Mainly STEM degrees (although not all STEM equally). But frankly, I don't want to see extremely low interest loans made to students pursuing a degree in English, Psychology, or University Studies. Making it easier to get degrees that we are already graduating plenty for and do not reasonably help the nation going forward is not something I see a need for at all.
Honestly, this strikes me as really ty political pandering that does not really address any current problem. Its a "hey look the banks are bad BUT I'M your friend" move to me. I don't really like it at all.
There is only one lender now. The Dept. of Ed.
AFAIK you can still get a private student loan above and beyond what the Dept of Ed will give you but those are not backed by the government in any way shape or form.
That is right, plus those are not what this is referring to.
Agreed. It just seems like a program that would hurt just as many kids as it helps. For every graduate who benefits from lower interest rates on their student loans you probably end up with one or more who decides to take on a bunch of loans under the guise that the low interest rates make it affordable.
I don't think that's what WC meant. I agree with what WC said (assuming I interpreted it right), high school grads are completely useless now compared to the 50s/60s particularly in math/science related areas.
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