Obama Proposes Improvements to Income-Based Repayment
Today President Obama announced that he wants to improve IBR to make student loan repayment more affordable for people who are struggling. Obama's proposal, which he will mention in the State of the Union on Wednesday, would cap IBR payments at 10 percent of discretionary income (rather than the current 15 percent) and forgive remaining debts after 20 years (rather than the current 25 years). This would expand the number of people who are eligible for the program, and make it even more helpful for those who already qualify. This couldn't have come at a more appropriate time, as so many Americans are still unable to find work and make ends meet. We will keep you informed as more details become available and let you know when the time is right to take action and help make this a reality.