Raptorpat Posted November 20, 2023 Author Share Posted November 20, 2023 On 10/24/2023 at 10:47 PM, Raptorpat said: This sucker accrued like $98 per month in interest on top of all my other student loans. On the bright side, it's one less accrual stream that I have to worry about over the next 15 years. But the downside is that even with knocking this one out, I still owe more on my student loans than on my mortgage. And it won't practically impact my minimum monthly payments, its share is just redistributed amongst the rest and puts a minimum payment slightly closer to breaking even on total interest. loooooooool I had to bust out the calculator tonight to figure out my shit and I still accrue $785 in interest per month 2 Quote Link to comment Share on other sites More sharing options...
Raptorpat Posted January 12 Author Share Posted January 12 https://twitter.com/potus/status/1745815401273929904 1 Quote Link to comment Share on other sites More sharing options...
rpgamer Posted January 12 Share Posted January 12 Imagine taking out less than 12k in loans. That's like "gave up half-way through" money. Quote Link to comment Share on other sites More sharing options...
Raptorpat Posted January 12 Author Share Posted January 12 49 minutes ago, rpgamer said: Imagine taking out less than 12k in loans. That's like "gave up half-way through" money. I think that's a particular target sub-audience. But I also saw this: Quote One of the benefits of enrolling in an income-driven repayment (IDR) plan is that after 20 or 25 years of repayment — depending on the plan — any remaining balance is discharged. The new provision cuts that timeline to 10 years for borrowers with smaller balances. Beyond that, for every $1,000 borrowed above $12,000, a borrower can receive forgiveness after an additional year of payments, which means those who originally borrowed less than $21,000 will be eligible for forgiveness faster than the 20-year timeline, James Kvaal, undersecretary of Education, said in a press call this week. https://finance.yahoo.com/news/student-loans-accelerated-provision-of-save-plan-provides-forgiveness-for-more-borrowers-in-february-151410506.html 1 Quote Link to comment Share on other sites More sharing options...
rpgamer Posted January 12 Share Posted January 12 Yeah, yeah, it'll help plenty, to be sure. Still, feels like a small first step that hopefully leads to more. I've also never been clear/certain on the whole discharged/forgiven thing after 20-25 years, and whether that just ends up hurting you on taxes instead.. Quote Link to comment Share on other sites More sharing options...
Raptorpat Posted January 13 Author Share Posted January 13 So for PSLF, the forgiveness after 10 years is clean. For regular 20-25 year forgiveness, that amount would be treated as a taxable income windfall for that tax year. When the Dems flipped passed their first omnibus bill in 2021, they slipped in a (I think) five-year grace period where student loan forgiveness isn't federally taxable (you'd have to check what your individual state would do if it has a state income tax). So question there is whether that grace period will be extended when it sunsets. 1 Quote Link to comment Share on other sites More sharing options...
rpgamer Posted January 13 Share Posted January 13 Yeah, that shit definitely needs closed. Like, sure, there's a logic to it. But, if you're hitting that period and needing forgiveness, chances are you're in no position to pay the taxes on it either. 2 Quote Link to comment Share on other sites More sharing options...
Raptorpat Posted January 13 Author Share Posted January 13 Yeah I understand it in the abstract tax sense, in that any "windfall" whether actual cashola or debt forgiveness is income on a balance sheet. But when you're talking about forgiveness after a means-based repayment plan, it's like kicking someone while they're down. 2 Quote Link to comment Share on other sites More sharing options...
Raptorpat Posted February 21 Author Share Posted February 21 First batch of SAVE forgiveness, about $1.2b for 150,000+ people who borrowed less than $12k and have been stuck in repayment for at least ten years. https://www.usatoday.com/story/news/education/2024/02/21/biden-cancels-student-loan-debt-save-plan/72676148007/ Quote Link to comment Share on other sites More sharing options...
André Toulon Posted February 21 Share Posted February 21 I need a medical forgiveness plan 4 Quote Link to comment Share on other sites More sharing options...
SwimOdin Posted February 21 Share Posted February 21 1 hour ago, André Toulon said: I need a medical forgiveness plan Saaaaaaaame. 4 Quote Link to comment Share on other sites More sharing options...
katt_goddess Posted February 22 Share Posted February 22 I heard someone mention a medical forgiveness plan? 3 1 Quote Link to comment Share on other sites More sharing options...
Icarus27k Posted February 22 Share Posted February 22 I need a "guilty and regretful for all the dumb and evil things I've ever done" forgiveness plan. 3 1 Quote Link to comment Share on other sites More sharing options...
Raptorpat Posted February 22 Author Share Posted February 22 the Catholics call that a "confessional" 5 Quote Link to comment Share on other sites More sharing options...
Sieg67 Posted March 24 Share Posted March 24 It's nice to see some student loan forgiveness but what I'd really like to see is a crack down on predatory loans. Something like a cap on interest. I would also like to see the price of education go down. There's no reason why books need to cost so much or why the latest version is required when the previous version is essentially identical. 2 1 Quote Link to comment Share on other sites More sharing options...
katt_goddess Posted March 25 Share Posted March 25 47 minutes ago, Sieg67 said: It's nice to see some student loan forgiveness but what I'd really like to see is a crack down on predatory loans. Something like a cap on interest. I would also like to see the price of education go down. There's no reason why books need to cost so much or why the latest version is required when the previous version is essentially identical. So much this. There should be no reason for a college loan of say $20,000 total [ for all the years ] to cost $80,000 by the time you pay it off especially when you are paying it off the entire time. If you are paying something off, it should go down consistently, not up. And don't even get me started on the price of 'textbooks' and new versions that changed exactly one word around somewhere so now the old one is crap and you can't sell it back for the pittance allowed at the store. I have a History of Hello Kitty [ the business itself ] somewhere around here that was labeled a textbook for some class somewhere and the price tag is $250. [ found it ] Quote Link to comment Share on other sites More sharing options...
GunStarHero Posted March 29 Share Posted March 29 Found myself in a rollercoaster of a situation with my student loans. I had my funding for my original college taken away by my father (don't be gay, kids) and I wound up taking out a loan at ITT Tech and graduating there with an associate's degree. Managed to have perfect grades the entire time so I was top of my class, which is misleading by the way, technically I was top of all graduating students (around 100 people) that quarter but my graduating class by field was 3 people. Anyways that was important because they offered to cut my loans down by a massive 70%. Struggled to pay my loans off at first and they were garnishing my wages but I was contacted by the Department of Treasury and given a weird deal where I would surrender all tax returns for the next 10 years, regardless of whether or not it exceeded or fell short of my total amount owed. But I had to get some money back every year or it voided the agreement. I threaded the needle and had many years where I had super small tax returns. At the 9 year mark I was informed my loans had been forgiven by the Biden administration and I just needed to submit the proper paperwork. This was in regards to ITT Tech, however, versus blanket student loan forgiveness. Thought that was the end of it but late last year I got a message from my estranged mother talking about some letter she got in the mail addressed to me. Three times. I had her send one over and it was this weird looking Treasury document that looked poorly copied, had sharpie and pen revisions and even highlighter marks. Did not look legit at all. Well it arrived a 4th time so I said fuck it and sent a skeptical email to the person on the letter. She said I was owed a refund for what I had paid during my agreement and just needed to confirm my current address, which she also already had. I confirmed, thinking it might be some weird scam. A couple weeks later I got like 5 checks in the mail for the total amount I had paid for my loan. Then my credit score went down 30 points. Magical. 2 3 Quote Link to comment Share on other sites More sharing options...
André Toulon Posted March 29 Share Posted March 29 Wait, so you got it all back....like the surrendered tax refunds, or just the garnished wages. It's early and I'm already on j #2 so I might be misreading this....in fact I'm sure I am. Just making peace with im getting dumber the older I get 1 Quote Link to comment Share on other sites More sharing options...
scoobdog Posted March 29 Share Posted March 29 That sounds like it might have been part of the settlement that was reached in '22 and cleared of challenges by the SCOTUS last April, but, it's a little weird that Treasury would be holding on to money that's already been paid toward a loan. Sounds like it was a really complicated settlement. Quote Link to comment Share on other sites More sharing options...
GunStarHero Posted March 30 Share Posted March 30 As far as I can tell it was regarding the situation with ITT Tech that got them shut down. I had multiple loans out with them to begin attending and one was very small and I managed to pay it off early thanks to the discount. At least one of the other loans was federally backed so that was the one that came back to me. 1 Quote Link to comment Share on other sites More sharing options...
discolé monade Posted March 30 Share Posted March 30 On 3/29/2024 at 8:55 AM, André Toulon said: It's early and I'm already on j #2 4 Quote Link to comment Share on other sites More sharing options...
Raptorpat Posted April 5 Author Share Posted April 5 Biden to Make Second Attempt at Large-Scale Student Loan Forgiveness The administration will soon issue a proposed regulation that could slash student loan balances for millions of Americans By Andrew Restuccia Updated April 5, 2024 1:02 pm ET Quote WASHINGTON—The Biden administration is poised to issue a proposal aimed at reducing or eliminating student loan balances for millions of borrowers, according to people familiar with the matter, marking President Biden’s second attempt at large-scale loan forgiveness. The regulations, which are set to be issued as soon as next week, come after the Supreme Court last year overturned the administration’s first debt cancellation plan, which would have wiped away up to $20,000 in student debt for borrowers making less than $125,000 a year. Biden is planning to outline the broad strokes of the new proposal during a speech on Monday in Madison, Wis., where he is expected to tout his administration’s wide-ranging efforts to chip away at the student debt burden facing more than 40 million Americans, the people said. A White House spokesman declined to comment. The president’s advisers hope to use the rules to begin canceling waves of student debt in the run-up to the November election, but the exact timing of the effort will depend on how quickly the administration can finalize the regulations. The debt forgiveness push could give Biden a political boost, especially among young people, amid polls that show him trailing former President Donald Trump, his GOP opponent, in several key states. But the proposal, once it is completed, is likely to face legal action from Republican attorneys general, who will again try to convince the courts to block it. Just hours after the Supreme Court in June 2023 killed his first student loan forgiveness plan, Biden pledged to try again using different legal authority. That kicked off a lengthy and bureaucratic process led by the Education Department to craft regulations that define under what circumstances the federal government can “waive,” or eliminate, federal student debt. The administration is basing the regulations on a 1965 law called the Higher Education Act. The proposed regulation is expected to outline several categories that would qualify borrowers for debt relief, including financial hardship, the people said. For example, borrowers with high debt loads and low incomes could see their loan balances reduced or eliminated under the plan. It could also outline a path to relief for borrowers who have carried their debt for decades; who now owe more than their initial loan amount because interest has piled up; or who are eligible for relief through other federal programs, but haven’t applied. Administration officials are developing estimates for how many borrowers could see relief through the plan. Outside experts said the proposal could lower or eliminate student debt balances for millions of people if the administration opts to embrace the most ambitious version of the regulations that have been discussed. The Higher Education Act requires that the Education Department conduct a so-called negotiated rule-making to develop the regulations, an unusual and slow process that isn’t required for most other regulations. Some in the administration feared the rules would get caught up in the government’s bureaucracy for months, making it unlikely that borrowers would see any relief before the election. But the administration moved quickly, holding a series of mandatory public meetings in recent months with stakeholders—including borrowers, student loan industry officials and representatives of colleges and universities. That part of the process ended earlier this year, allowing the Education Department to craft the regulations based on the stakeholder feedback. Once the proposed regulation is released, the administration is expected to collect additional public comments and issue a final rule in the coming months. After it is finalized, the Education Department could move quickly to forgive debt because the government already has much of the data needed to make its determinations about who qualifies for relief, including borrower income. Administration officials expect that the final rule will be challenged in court, but they think they are on solid legal footing. The new approach, they argue, is more tailored because it outlines specific conditions for debt cancellation, a contrast with the more sweeping plan that was overturned by the Supreme Court. The administration used the Heroes Act to underpin Biden’s first loan-forgiveness program. But the Supreme Court ruled that the administration had overstepped its authority by using the law, which allows the education secretary to modify student aid programs to respond to emergencies, to forgive loans for tens of millions of Americans. A handful of Republican state attorneys general signaled on Friday their intentions to bring legal challenges to the program once it is finalized. “It appears that the proposal will be another attempt to circumvent the Supreme Court’s initial ruling to help the President garner votes in November,” said a spokeswoman for Austin Knudsen, Montana’s attorney general. “[A]s hard-working Americans struggle to buy groceries, Biden thumbs his nose at the court like he has done with so many issues, including immigration, and does what he wants,” Florida Attorney General Ashley Moody said in a statement. “Not only is this unfair, but it violates the separation of powers.” As the new proposed regulations worked their way through the rule-making process, the Biden administration has separately moved forward with more narrow student debt forgiveness for nearly four million Americans totaling more than $140 billion. The administration also revamped the process for income-driven loan repayment, reworked the rules for public-service loan forgiveness and provided debt relief to people with disabilities and borrowers who say they were cheated by their schools or whose institutions closed suddenly. With seven months to Election Day, Biden is underperforming with young voters, a constituency that forms a central plank of the Democratic coalition. He is winning only 50% of voters under age 30 in recent Wall Street Journal surveys—10 percentage points more than Trump. In 2020, Biden won this group by 25 points. Ken Thomas and Jan Wolfe contributed to this article. https://www.wsj.com/politics/policy/biden-to-make-second-attempt-at-large-scale-student-loan-forgiveness-ef1da5fe 1 Quote Link to comment Share on other sites More sharing options...
Raptorpat Posted April 8 Author Share Posted April 8 Here is the press release on the new plan: https://www.whitehouse.gov/briefing-room/statements-releases/2024/04/08/president-joe-biden-outlines-new-plans-to-deliver-student-debt-relief-to-over-30-million-americans-under-the-biden-harris-administration/ The copypasta upshot: In total, these plans would fully eliminate accrued interest for 23 million borrowers, would cancel the full amount of student debt for over 4 million borrowers, and provide more than 10 million borrowers with at least $5,000 in debt relief or more. cancel up to $20,000 of the amount a borrower’s balance has grown due to unpaid interest on their loans after entering repayment, regardless of their income. Low and middle-income borrowers enrolled in the SAVE plan or any other income-driven repayment (IDR) plan would be eligible for the entire amount their balance has grown since entering repayment to be canceled under the Administration’s plans. This group of borrowers includes single borrowers who earn $120,000 or less and married borrowers who earn $240,000 or less. automatically cancel debt for borrowers otherwise eligible for relief through the SAVE plan, Public Service Loan Forgiveness, or other forgiveness opportunities like closed school loan discharges but who have not successfully applied for that assistance. cancel student debt for borrowers who first entered repayment 20 or more years ago. Borrowers with only undergraduate debt would qualify for forgiveness if they first entered repayment 20 years ago (on or before July 1, 2005), and borrowers with any graduate school debt would qualify if they first entered repayment 25 or more years ago (on or before July 1, 2000). cancel student debt for loans associated with institutions or programs that lost their eligibility to participate in the Federal student aid program or were denied recertification because they cheated or took advantage of students. Further, borrowers who attended institutions or programs that closed and failed to provide sufficient value— for example that leave graduates with unaffordable loan payments or earnings no better than what someone with a high school diploma earns— would be eligible for relief cancel student debt for borrowers experiencing hardship in their daily lives that prevents them from fully paying back their loans now or in the future. Honestly if no caveats, this is an improvement for my situation over the original blanket forgiveness program. So if this comes to fruition I'd have to thank Republicans for falsifying standing to get the original program tossed. 2 1 Quote Link to comment Share on other sites More sharing options...
Icarus27k Posted April 11 Share Posted April 11 (edited) Edit: Nope. Decided to not post about my personal student loans. Edited April 11 by Icarus27k Quote Link to comment Share on other sites More sharing options...
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