Here's what the White House says about the President's action yesterday on student loans:
More students than ever before are relying on student loans to pay for their college education. 71 percent of students earning a bachelor's degree graduate with debt, averaging $29,400. While most students are able to repay their loans, many feel burdened by debt, especially as they seek to start a family, buy a home, launch a business, or save for retirement. … [Yesterday,] the President signed a memorandum directing the Secretary of Education to propose regulations that would allow nearly 5 million federal direct student loan borrowers the opportunity to cap their student loan payments at 10 percent of their income. The memorandum also outlines new executive actions to support federal student loan borrowers, especially vulnerable borrowers who may be at greater risk of defaulting on their loans. But in his remarks at the signing, the President made clear that Congress needs to take action as well, saying that today's executive action will "make progress, but not enough." He brought up the bill written by Sen. Elizabeth Warren that would allow students to refinance their student loans at today's lower interest rates, noting that "it pays for itself by closing loopholes that allow some millionaires to pay a lower tax rate than middle-class families."
For more info on the White House plan, go here.
