Loan reforms
Anyone have any opinion on the new student loan reforms?There will be interest rate relief, but the most important provision appears to be the "Fair Payment Assurance" provision which will cap loan payments at 15% of disposable income (above poverty line) if one chooses to do so and erase debt after 25 years if there is a balance left on the loan. If the payment doesn't meet the interest, the interest will capitalize, but the balance will still be forgiven after 25 years as long as someone makes a payment and is not in default..
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