Blizzhackers

I've been reading up on it a bit as I am going to be graduating soon with $130k+ in student loans split up between myself and my parents.

What I found extremely interesting is that after 25 years you do not have to pay back your loans... everything is forgiven including interest.

I've got a few talking points.

1. Do you think that Obama's administration should/will implement more of a student loan forgiveness program. If he is searching for an economic boost, imagine the increase in spending and building when a bunch of 25-35 year olds no longer need to pay off their loans (or they're payments are drastically reduced). Also, this would not only cause short term stimulation as the stimulus package was. Spending will continue at an increased rate for a long time.

2. What other types of programs would you like to see implemented?

On a side note, I'm wondering what people's ball park student loan debt was when they graduated, and what your monthly payment situation is.

I've been reading up on it a bit as I am going to be graduating soon with $130k+ in student loans split up between myself and my parents.

What I found extremely interesting is that after 25 years you do not have to pay back your loans... everything is forgiven including interest.

I've got a few talking points.

1. Do you think that Obama's administration should/will implement more of a student loan forgiveness program. If he is searching for an economic boost, imagine the increase in spending and building when a bunch of 25-35 year olds no longer need to pay off their loans (or they're payments are drastically reduced). Also, this would not only cause short term stimulation as the stimulus package was. Spending will continue at an increased rate for a long time.

2. What other types of programs would you like to see implemented?

On a side note, I'm wondering what people's ball park student loan debt was when they graduated, and what your monthly payment situation is.

What I found extremely interesting is that after 25 years you do not have to pay back your loans... everything is forgiven including interest.

How do you manage to get 130k$ in debt? Are you in a ridiulously filled program/study where you have like no time to work or something? In some crazy expensive ivy league school? Getting that bad in debt is a very poor personal economic model.

I got ~5k$ iirc and i'm 2 years in. (electrical)
I have some help from my parents, but am planning on working during the summer and taking a coop position next year.

Some paperwork got messed up to make it look like i would be ending my studies and i got a letter that told me how much i'd have to pay and its around 90$ a month (4.7% floating). This is through the integrated student loans place which is part of a program with the Goverment of Canada. I'm pretty small potatoes compare do most other people though since i live near my campus and don't have to pay for residence and end up with like 1/3 of what people pay for school...

Wentworth Institute of Technology. $22,000 a year for tuition, plus housing expenses pushes it up to $30,000 a year. That's also only for 2 semesters a year, I'm going 3 a year so I can get out faster, so my bill has been like $45000 for 2 years.

Everyone at my school is in a similar position. My school is extremely competitive. Only 30% of our freshmen graduate, the rest drop out. Almost everyone who graduates with an engineering degree starts out with a $55k+ job after graduation.

Luckily I'm almost done, as I've only got 2 more semesters of classes and 2 semesters of coop. I'm hoping I can save enough money during my coops to pay for the tuition of my last 2 semesters.

Loan Forgiveness

The maximum repayment period is 25 years. After 25 years, any remaining debt will be discharged (forgiven). Under current law, the amount of debt discharged is treated as taxable income, so you will have to pay income taxes 25 years from now on the amount discharged that year. But the savings can be significant for students who wish to pursue careers in public service. And because you will be paying the tax so long from now, the net present value of the tax you will have to pay is small.

A new public service loan forgiveness program will discharge the remaining debt after 10 years of full-time employment in public service. Unlike the 25-year forgiveness, the 10-year forgiveness is tax-free due to a 2008 IRS ruling. The borrower must have made 120 payments as part of the Direct Loan program in order to obtain this benefit. Only payments made on or after October 1, 2007 count toward the required 120 monthly payments. (Borrowers may consolidate into Direct Lending in order to qualify for this loan forgiveness program starting July 1, 2008.)

Why don't you get off your lazy ass and google it yourself... ffs this is common knowledge to anyone who has spent any time dealing with student loans. It is called income based repayment.

http://www.finaid.org/loans/ibr.phtml
http://www.ibrinfo.org/what.vp.html

because burden of proof is on the one making the claim? i've never heard of that and i'm sure there are millions that haven't as well. since you have to pay taxes on it though does it end up costing more or less in the long term? would interest earned on the cash in the bank defer the cost of the taxes? this would be very helpful information. i'm starting college in the fall and need to save as much money as possible. be more of a holier-than-thou douchebag plz.

If I say the sky is blue... do i need to provide a picture? when shit is obvious... or easy to verify for oneself take the two seconds needed to research it... literally prob took me less time to google "student loan forgiveness" then it did for you to post your reply. if you come up with conflicting information or can't find an answer... then asked for additional information/source... just replying "CITATION NEEDED" is imho fucking retarded.

since you have to pay taxes on it though does it end up costing more or less in the long term? would interest earned on the cash in the bank defer the cost of the taxes? this would be very helpful information.

You would've been better off starting a business with that 130k rather than enriching whatever college you went all so you could be propagandized for 4 wasted years. Now you want us tax payers to foot the bill for your poor planning. College is for suckers.