Income-Based Repayment plans are one of four repayment options offered by the federal government that are calculated by how much a borrower earns
Income-Based Repayment plans are one of four repayment options offered by the federal government that are calculated by how much a borrower earns
This was always what was going to happen when they rolled out the SAVE plans. The entire thing relies on the government never once deciding to reneg on their end of the deal, and the second they do you’re left with a fuckton of principal on the loan still with no recompense because you were assuming that regular payments would result in forgiveness decades down the line.
This is also why the only real method for fixing the cost of college is immediate forgiveness of all federally owned loans followed by mandating cost reduction for all public universities, but then porky can’t print trillions in interest and administrative fees over the next 50 years so it was never on the table.
Yeah, I wonder if no one remembers the bragging about how much government revenue was gonna be generated by student loan repayments when they were turned back on. It was one of the things even the DNC agreed on until everyone looked at the math.
The whole income driven repayment plans have actually just been a cost to the US government cause no one makes enough to actually repay. Everyone is losing here while the cost is so high and the debt hangs over everyone’s head.