Biden administration to cancel student loan debt for at least 40,000 borrowers. SCOTUS strikes down Biden’s student loan relief plan
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From my take - the key is the 20K for Pell Grant borrowers who are typically low income
I think what people are missing is that they are about to cut in half the income based payment option which means the normal 10% of your income may go down to 5%
So if you make 100K, instead of paying 1000 a month it would go down to 500 a month...
I am sure people will still be mad though...
I think what people are missing is that they are about to cut in half the income based payment option which means the normal 10% of your income may go down to 5%
So if you make 100K, instead of paying 1000 a month it would go down to 500 a month...
I am sure people will still be mad though...
PREACH!
I don't understand something.
Payments don't literally mean anything if you owe X amount.
If I owe $50k and my payments "were" $100 a month, then they say they are now $50, I still owe the principal amount.
So does that mean in the past it took me 30 yrs to pay off, now it will take me 60 yrs? (rough example estimate).
Get my point?
This is how car salesman catch people who don't understand "money".
Customer: "How much is that car"
Saleman: "oh, for you, that's $249 a month"
To me, I'm like what does that mean? How much is the actual car.
It's too much to type but it depends on what kind of payment plan you are in.
For me, I did PSLF where they took 10% of my income and after 10 years no matter what my balance was it would be forgiven.....
I think that a lot of folks were irresponsible in choices of college and major, and want the government to again make up for their mistakes. So on those grounds I’m against wholesale forgiveness. That said…..:
The numbers of folks in professional jobs who have run the PSLF hustle is underreported, especially doctors who work at nonprofit hospitals, they make long cake, started out on income based repayment as residents, moved to lower payments when they started practice, 10 years, done. $150k+ gone. A fair number of attorneys, psychologists and nurses and others also run the game, PSLF just ain’t benefiting the social worker making $35k.
The numbers of folks in professional jobs who have run the PSLF hustle is underreported, especially doctors who work at nonprofit hospitals, they make long cake, started out on income based repayment as residents, moved to lower payments when they started practice, 10 years, done. $150k+ gone. A fair number of attorneys, psychologists and nurses and others also run the game, PSLF just ain’t benefiting the social worker making $35k.
Because you're in public service?
I know about the 120 payments thing.
So I'm literally trying to see how they are going to say "you" now owe half. But I'll look into it.
I've gotten my daughter and wife's loans forgiven partially. But wasnt easy.
You right but it's playing chess not checkers....
We all know you will make 10 times more working in private sector though.....We need those doctors to work at Federal Qualified Health Centers to provide needed services for people with no insurance.....Dont' forget depending on where you practice, your malpractice insurance can be alot so you really not making as much as you probably could...
A doctor working at a FQHC or a non profit hospital will not make as much as a doctor working a for profit hospital (these are very few, but there are some out here).
It wasn't easy because prior to the Biden administration you had a woman over the Dept. of Education that had no background in Education that wanted to eliminate everything and make people just pay regardless of how much you are making....
If Betsy was still over there, your family probably wouldn't have gotten even half forgiven....
When you say half what do you mean?
It hasn't been announced but if you did income based payment, it was 10% of your income, but supposedly they may reduce that percentage to 5% of your income.
forgive me bro, I'm trying to understand but non-profit, let's say low income communities need a couple doctors, so those dudes leave better money at the hospitals they work at, go to the non profit for 10 years and get their loans completely wiped? That's a good hustle.I see alot of "clinics" in poor usually low income areas, I wonder if these qualify.
So hold on, lets say a public hospital has a "clinic" in the hood do the people who work there are considered NON PROFIT workers?
Forgive me bro, i don't understand this stuff too well.
I see alot of "clinics" in poor usually low income areas, I wonder if these qualify.
So hold on, lets say a public hospital has a "clinic" in the hood do the people who work there are considered NON PROFIT workers?
Forgive me bro, i don't understand this stuff too well.
Most hospitals in the USA are non profit...Like 80%....Any doctor or staff that works there is considered working at a non profit....
Clinics or alot are called FQHC - Federally Qualified Health Centers are where doctors usually can work to help get there loans discharged after 10 years.....These clinics are usually in low income areas or very rural areas where people don't won't to work....
What's crazy people talking about doctors, but has anyone seen the salaries of the senior administrators ate these hospitals? CEO, CFO, and VPs??
They make all the money...Hell their salaries make the MD's salaries look like chump change! lol
So then it just means that they will just extend your payment time.
Where as the average person makes the minimum payments it takes them maybe 30 yrs. Now unknowingly, will probably take them a good 50-60 yrs to pay it off if they are paying less. The principle remains the same.
Just wow...
Does this mean students now have until December to apply for the program as opposed to October?
That's why www.mhs.net jumped on the clinic way a few years back, they got them all over the place now. Raised the fee to 75 from 35 and tell people they need insurance or their not getting seen.
It's a damn good hustle.
Not necessarily and I am just guessing...Most of the income based programs will discharge your loans after a certain time period no matter what your balance is.....I am not sure what new legislation is about to come out so I am taking a guess from what I have been reading and what's being discussed on reddit....
Types of Income-Driven Repayment Plans
All IDR plans determine your monthly payment based on your income and family size. The federal government uses that information to calculate your discretionary income, which is the difference between your annual income and 150% of the federal poverty guidelines for your family size.
Here's how the plans differ:
Income-Based Repayment (IBR)
If you first took out loans before July 1, 2014, then IBR payments will be 15% of your discretionary income. If you took out loans on or after July 1, 2014, then payments will be 10% of your discretionary income. Your monthly payment will never be more than what you would pay on the 10-year standard plan.
The term is 20 years if you're a new borrower on or after July 1, 2014, and 25 years if you became a borrower before July 1, 2014.
Pay As You Earn (PAYE)
PAYE calculates payments as 10% of your discretionary income, and the term is 20 years. Under PAYE, your monthly payment will never be more than what you would pay on the 10-year standard plan, no matter your income.
Revised Pay As You Earn (REPAYE)
With REPAYE, the monthly payment is 10% of your discretionary income. The term is 20 years if your loans were only used for an undergraduate degree and 25 years if your loans were used for both undergraduate and graduate degrees.
With REPAYE, the monthly payment will always be 10% of your discretionary income. If your income increases substantially, the monthly payment under REPAYE may end up being more than what you would owe with the 10-year standard plan. Borrowers with high incomes should be careful about choosing REPAYE as their IDR option.
Income-Contingent Repayment (ICR)
Monthly payments on ICR are either 20% of your discretionary income or the monthly amount you would pay on a fixed 12-year plan. ICR plans are less popular than other IDR options because they often lead to a higher monthly payment. The repayment term is 25 years.
Parents who borrowed Parent PLUS loans can consolidate their loans into a Direct Consolidation Loan to become eligible for ICR, which is their only IDR option.
Which Income-Driven Repayment Plan Is Best?
The best income-driven repayment plan depends on your particular situation, which loans you have, and when you borrowed them.
Fortunately, the federal government provides a loan simulator illustrating which IDR plan will result in the lowest monthly payments and the lowest total repaid over time. Visit the official site to plug in your information.
Refinance Your Student Loans
Each IDR plan requires that you wait 20 or 25 years before your loans are forgiven. If you want to get rid of your student loans sooner rather than later, you can refinance them for a lower interest rate to save money while paying off the balance.
Refinancing student loans through Juno lets you choose from three different lending partners: Earnest, Splash, and Laurel Road. Fixed interest rates start at 2.25% APR, and variable interest rates start at 1.63% APR.
Borrowers who refinance with Earnest or Laurel Road will qualify for an interest rate that is .25% lower than what they would qualify for if they refinanced with Earnest or Laurel Road directly.
Borrowers who refinance with Splash through Juno will get a $500 bonus if they refinance between $50,000 and $150,000, and a $1,000 bonus if they refinance more than $150,000. This bonus is only available if you refinance with Splash through Juno.
Well they are a non profit health system...Most hospitals have expanded their clinics because it's too damn expensive to see patients at the hospital....
Hospitals are damn near becoming obsolete or reserved for serious issues...
Naw I think the PSLF waiver needs to be done by October to have the months in forbearance be counted towards your 120.....
Still I am only guessing....We should know more by the end of today
@DC_Dude broke it down.
I see alot of "clinics" in poor usually low income areas, I wonder if these qualify.
So hold on, lets say a public hospital has a "clinic" in the hood do the people who work there are considered NON PROFIT workers?
Forgive me bro, i don't understand this stuff too well.
And he’s correct, the CEO, VPs, Directors, never touch a patient but all qualify for PSLF. If you’re in an urban setting or even rural areas, there’s usually a hospital for indigent care that services primarily low-income patients. It’s why when you see on the news someone getting shot, and wonder why they got shot on the east side but transported to a hospital on the west side, bypassing 5 other hospitals, it’s because they take them to the indigent care hospital if it’s non-life threatening, or they often end up at that hospital if their first stop is another hospital but that one isn’t equipped for
the type of trauma the victim is dealing with (fwiw, the indigent care hospital in my city has the best trauma center in the state and many to all gunshot victims in the area end up there). But ALL those staff are working in a nonprofit and thereby eligible for PSLF.
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