Student loans are easy to apply for and also receiving the money is better. Even though it’s easy to apply for student loans, paying them back is difficult and stressful. Government seems to be generous when it comes to giving money, but when it’s time to pay back government does not take chances. Statistics have shown that Americans owe about 1.7 billion dollars in student debt. According to a Times article, But can America Afford this Approach to Solving Student Debt? that states, “It has made itself the primary bank for students and put in place an expansive new safety net. A key provision allows all federal borrowers to cap their monthly payments at 10% or 15% of their discretionary income and wipes any remaining balance off the books after
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Although Congress lowered student loan interest rates in 2013, it extended the fix only to new borrowers. That left millions of existing borrowers piling up debt at interest rates at or above 7 percent. Because Congress set the high rates, Congress has the power to fix them.” Refinancing student loans is a great solution that way students can take advantage of the lower interest rates. Since congress increased the interest rates, it can fix them too. O’Malley continues, “Second, we should cap the monthly payments on students’ loans, so students whose passion is teaching or policing or national service can pursue their dreams without worrying about debt or default.” Well programs have been created that help students pay their student debts and let them focus on their careers. In the article, O’Malley states that “Alone, these two proposals — letting students refinance their loans and capping their payments — would go a long way toward relieving the burden of student debt. They are common-sense policies that would make millions of students better off.” I agree with his statement because this will better students’ lives and make them debt
Although Congress lowered student loan interest rates in 2013, it extended the fix only to new borrowers. That left millions of existing borrowers piling up debt at interest rates at or above 7 percent. Because Congress set the high rates, Congress has the power to fix them.” Refinancing student loans is a great solution that way students can take advantage of the lower interest rates. Since congress increased the interest rates, it can fix them too. O’Malley continues, “Second, we should cap the monthly payments on students’ loans, so students whose passion is teaching or policing or national service can pursue their dreams without worrying about debt or default.” Well programs have been created that help students pay their student debts and let them focus on their careers. In the article, O’Malley states that “Alone, these two proposals — letting students refinance their loans and capping their payments — would go a long way toward relieving the burden of student debt. They are common-sense policies that would make millions of students better off.” I agree with his statement because this will better students’ lives and make them debt