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PSLF safety given current political environment.

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Joined 2012-06-01

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I graduated law school 5 years ago with 100,000 in debt. I have been working at a not for profit organization and making payments under an IBR plan. My payments are reasonable and do not cover the growing interest. I have been comfortable with this because of the promise of forgiveness. Given the Trump election and Republican control over Congress, how would you guys handle your debt going forward? In theory I could start paying more (my wife and I file separately) or just start making side payments to hedge against the program going away and not being grandfathered in.

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Joined 2015-02-19

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Yeah I have a similar worry now. This recent-ish speech gives some hope. But honestly, who knows.

http://time.com/money/4531134/donald-trump-student-loan-proposal/

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Joined 2016-10-13

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oldschoolways - 09 November 2016 02:22 PM

Yeah I have a similar worry now. This recent-ish speech gives some hope. But honestly, who knows.

http://time.com/money/4531134/donald-trump-student-loan-proposal/


I am very concerned about this as well considering all of my financial decisions up until this point have been made under the assumption my loans will be forgiven after 10 years. This articles specifically states “Trump might eliminate Public Service Loan Forgiveness, which forgives the debt of government and non-profit workers after just 10 years, in favor of putting all borrowers in the same plan.” So who knows what he will or won’t do. My biggest questions is if the individuals already enrolled in the program are likely to be grandfathered in. I think the best we can do it make sure our employment certifications are up to date and move forward hoping nothing will change for us. I’m absolutely terrified by this though, because my husband and I are recently married live in a community property state so I will no longer qualify for income based repayment at the end of this coming year. I have 5 years left to pay based on the PSLF program so once my payments go up to the full loan amount next December, we will have to pay the full monthly payment amount based on a 10 year plan. Although it’s really going to hurt financially, the light at the end of the tunnel for us is that we would only have to do it for 4 more years. If he eliminates the program and adds another 5 years onto the repayment then nothing will end up being forgiven. It would financially devastate us from a savings/financial planning standpoint.

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Joined 2015-09-02

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I’m in the same boat.  Hugely concerned.  $150k, 6 years left.  Every single decision I’ve made, including when to propose and be comfortable getting married(due to her high income) but filing seperately…has been based on the notion that it would be around.