, or IDRs, which peg a person's monthly student-loan payment to their income. In theory, the plans are aimed at lowering monthly bills. But they have been plagued by complicated rules and issues like"negative amortization," which allows a borrower's balance to snowball despite making monthly payments.
The Education Department's"estimate did not consider potential borrowers switching from non-IDR plans into IDR plans due to the more generous features of the new IDR plan," the analysis noted. Critics note that the plans allow student debt to mushroom through negative amortization, with one study finding that some borrowers have seen their student loan debt double or triple even though they are in a repayment plan. Negative amortization happens when a repayment is too small to cover a loan's interest, resulting in the unpaid interest being added to the loan's principal.
Unconstitutional no matter how many ways you try and frame it.
It needs to go through Congress 1st, otherwise its no backup plan.
The cost of buying votes is going up
Good thing it didn't go forward. The media was completely on-board with this with no skepticism. Incredibly irresponsible. Someone will pay, and it's not 'loan forgiveness'.
When has a government spending idea ever come in at what they said
Anybody thinking if student debt is canceled it’s somehow going to impact and interrupt their day to day lives are misinformed. And stop acting like everyone are not taxpayers and pay taxes the benefit the rich and corporations. Only complaining because it helps poor people.
This article is a clear example of how the govt trying to fix/manage things from the top simply makes things worse for everyone. Negative amortization! What a scam. Why people want more govt bureaucrats in charge of much their lives is a mystery.
Tax the billionaires and corporate America. This is pocket change over 10 years.
Pay for it with Ivy League endowments!
Why don't you just pay your own damn debt. It's not my debt why shout my tax dollars pay your bills?
Irresponsible immature children, pay your own debts, I owe you NOTHING
Will Ukraine payback their loans?
VOTE BUYING 2.0 Screw all those who busted their Butt to pay off their loans....
Buying votes this is
Well there's a fuckin' surprise
How about all the politicians pay back their ppe loans that they grifted from the American people!
How would this be fair to families who sacrificed for years to save for college and either didn’t have to take loans or were able to pay them off from hard work?
Lmfao every ounce of all this is unconstitutional, and bullshit
Why should college debt owners (who got money to loan out for almost nothing) cash out big when they brought zero value ?
People could just pay back the debt they voluntarily incurred.
No responsibility or accountability for the student, but the taxpayer's on the hook. I think not.
And guess what, it's still will be unconstitutional unless it's done via the house of representatives and senate.... 😐
If student debt is canceled, Americans with mortgages, car payments and credit card debt should stop making their payments.