Pulling Yourself Up by Your Bootstraps is No Windfall: IBR Makes the American Dream Possible
A new report examines Income-Based Repayment (IBR) and the effect of pending changes to the program and analyzes how IBR affects borrowers over time as their incomes change. The New America Foundation released “Safety Net or Windfall: Examining Changes to Income-Based Repayment for Federal Student Loans” by Jason Delisle and Alex Holt, arguing that changes to Income-Based Repayment (IBR) should be better targeted towards low-income borrowers rather than “high-income borrowers with graduate and professional degrees.” …
BarMax Supports Public Interest Law
This one’s for law students and folks in legal education— Many of you know that I borrowed a boatload of money to pay for my legal education. Then I borrowed a boatload more to pay for an expensive bar review prep course that consisted of a bunch of books and videotaped lectures. Why did I do this? 1) Because my law school (Go Duke!) didn’t teach me how to pass the bar exam, and 2) I didn’t really see any other options. Today’s law students can decide not to borrow risky private student loans to pay for…
The Private Student Loan Problem…
As many of you know, Heather is not a big fan of private student loans, considering their lack of borrower protections and flexibility when it comes time for repayment. In an editorial published Wednesday in the New York Times, the authors note how inconsistent loan servicing on the part of private lenders and a general lack of clear information on repayment terms during loan origination put private student loan borrowers at far greater risk of falling behind in their payments or defaulting than those who take out federal student loans. The…
Fresh Out of College, Out of Money
Heather recently shared her experise on student debt with Madeline Novey for an article entitled, "Fresh Out of College, Out of Money" in today's Fort Collins Coloradan newspaper. Check it out!
Frustrated Student Loan Borrower Sings the Blues
According to a recent comprehensive study on private student loans by the Consumer Financial Protection Bureau, Americans now owe more than $150 billion in private student loan debt! Cumulative defaults on private student loans exceed $8 billion, and represent over 850,000 distinct loans. As many of you already know by now, Heather has a generally low opinion of private student loans due to their higher than average default rates, less flexible repayment plans, and fewer borrower protections as compared to their federal loan counterparts.…
