Obama's Student Loan Forgiveness Plan Finds Amped Up Volume

Now watching

Next video starts in : 7 Play

Obama's Student Loan Forgiveness Plan Finds Amped Up Volume

Obama's Student Loan Forgiveness Plan Finds Amped Up Volume
Replay video
Up next

Stocks Open Lower as GDP Revised Down, Intel Looks to Buy Altera

Unlock your personal NFL Now stream by signing in to NFL.com

Obama's Student Loan Forgiveness Plan Finds Amped Up Volume

by TheStreet 1:31 mins

Obama's Student Loan Forgiveness Plan Finds Amped Up Volume

by TheStreet 1:31 mins

President Obama wants to make good on his promise to stanch the student loan debt hemorrhage. On Monday, Obama announced that he's taking a more forceful approach in signing an executive order to expand the Department of Education's 'Pay as You Earn' program. The new plan would limits monthly student loan payments to 10% of a borrower's discretionary income and forgives unpaid debt after 20 years. The White House says 5 million borrowers could make lower payments under this plan. On Tuesday, Obama will be taking to Tumblr, where he'll field questions about his initiatives and face a barrage of criticism. In part, this action comes from a place of desperation a harbinger that Senator Elizabeth Warren's student loan refinance bill won't come to fruition in the senate. Plus, Obama's change will have a limited effect: only 11% of borrowers use income-based repayment platforms.

TheStreet

Personal Finance

Market Movers

  1. 12:25

    GDP turns negative in Q1; Game Stop's high score; Amazon's food line

  2. 2:09

    JPMorgan to cut more than 5,000 jobs: WSJ

  3. 2:03

    GDP shows economy shrank in the first quarter

  4. 3:42

    Amazon may be planning to roll out its own private-label brand: WSJ

  5. 11:06

    Investors eye China/jobs; Semiconductor megamerger; Visa's FIFA threat

  6. 2:12

    Abercrombie & Fitch jumps; Costco falls; Broadcom & Avago merge