President Obama had his own law school student loan debt, according to Debra Cassens Weiss with the ABA Journal (“Citing his own law school debt, Obama expands repayment caps on student loans“), which has apparently made him sympathetic to the plight of young borrowers going into debt to get an education.
As Weiss reports, Obama has capped repayment terms to 10 percent of a borrower’s income, meaning that the monthly payment would not exceed that amount, although the cap is only for “newer government-backed loans.”
Weiss gives us an Obama quote: “Here’s the problem. At a time when higher education has never been more important, it’s also never been more expensive. Over the last three decades, the average tuition at a public university has more than tripled. At the same time, the typical family’s income has gone up just 16 percent.”
In essence, as costs rise, but incomes stagnate, it gets that much harder to make ends meet for a variety of goods and services, including education. There are those who argue that borrowers dug their own hole, which, in some cases, may be true, but the reality is that the overall high cost of education these days seems to be a societal problem rather than the problem of an individual borrower to deal with.
As it stands now, student loan debt is still exceedingly difficult to discharge in bankruptcy, but that doesn’t mean there aren’t other options.
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Even The President’s Doing It (Got Into Massive Student Loan Debt)