The rhetoric around student loans is nothing short of mind-blowing. There’s a ton of misinformation out there.
It’s a constant battle to dig through the facts beneath the politics and confusing stats. To help you stay in touch with the truth, here’s the first of a series of updates answering the big question, “What’s up with student loans?”
THE CURRENT RATE: NOW BORROWING AT 4.45%…
This is heavy duty news. This is an 18% increase which could be as much as $4,700 in extra interest paid to someone who borrows the total amount of America’s average student loan balance, $37,172.
Dates: July 1, 2017, was the last interest rate change. Per legislation, the next rate change could come as soon as July 1, 2018.
THE LATEST FROM PRESIDENT TRUMP’S TEAM
The last we heard from the White House on student loans: Forgiveness for defrauded borrowers may not come so easy.
STUDENT LOANS & TAX REFORM
We’re a long way from full tax reform, but “The Big 6” signaled that legislation related to student loan benefits and tax help could be on the way. Fingers crossed.
“Work, Education, and Retirement – The framework retains tax benefits that encourage work, higher education, and retirement security.” – Read more at taxfoundation.org
STUDENT LOANS & HURRICANES
The cliff notes version – Student loan borrowers affected by the recent natural disasters are eligible for up to six months of forbearance (they won’t have any payments due, but will still accrue interest). But, there’s a catch: those borrowers have to apply by contacting their student loan servicer.
Long version: Check out the Federal Student Aid Presentation on Disasters & Title IV for more details.
NEWS YOU CAN (ACTUALLY) USE
- E-Book: 100+ Ways You Can Pay Off Your Student Loans
(American Student Assistance)
- 6 Ways to Recover From a Missed Payment
- Answers: How do I find my Student Loan Servicer?
And that’s a wrap on this roundup of news. Once we’ve got some new information to share, you’ll be the first to get it. If you’ve got any feedback, questions, advice or just wanna say hey – leave a comment or tweet us.