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Biden launches ‘most affordable ever’ student loan repayment plan (www.theguardian.com)

submitted 1 year ago by [email protected] to c/[email protected]

48 comments fedilink hide all child comments

Federal student loan borrowers can expect “the most affordable student loan plan ever”, Biden said in a video address on Tuesday announcing significant changes to the debt from higher education held by over an eighth of the country.

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[–] [email protected] 25 points 1 year ago* (last edited 1 year ago) (1 children)

The program, named Save (Saving on A Valuable Education), will replace the Revised Pay As You Earn (Repaye) plan, lowering the minimum amount due on student loans for borrowers who enroll in an income-driven repayment (IDR) plan.

Under the old rules, borrowers enrolled in this plan were required to pay at least 10% of their discretionary income, or the difference between their adjusted gross income (AGI) and 150% of the federally designated poverty line. Now, borrowers only have to pay the difference between their income and 225% of the poverty line.

[–] [email protected] 10 points 1 year ago

poverty line is such a joke now, just like the inflation numbers. they have to double and triple it to get to a more realistic figure.