General Politics Discussion (IX) [ARCHIVED] • Page 2016

Stuff like this must have been where Severance got the inspiration:

 

Now can they make it retroactive . . .

 

So I am kind of impressed with them understanding the limitations what he can do under the law without Congress and then figuring out how to backdoor some of this in. Not as great as just wiping it all out but that is some solid ingenuity to get around the roadblocks that we have talked about in here.

 

I don't think its "as long as you make payments, you won't get any interest"

I think its "as long as you make payments, your loan won't grow from interest"

So like, if you've got a 6% loan at 50k, that is ~250 in interest a month.

If you pay 300 a month, you pay the 250 in interest plus 50 off your loan and now you owe 49,950

But if you only have to pay 200 a month, you pay that 200 a month and the loan stays at 50k rather than going up to 50,050

 

Truly would love to know if they think they can do that legally or not.

 

hmmm that would be a bummer if that's how it pans out. How would that work if your income makes your monthly payment $0? If your loan can't grow, isn't that effectively freezing interest?

 

sounds like it.

 

does he realize that some republican voters are going to benefit from this

 

Yeah if what you're all posting is accurate it's gonna mean all 12K of my remaining debt gets wiped. Such a relief.

ANd yeah the politically smart move to at least extend the delay to January 1st was a good idea. Can't be restarting payments 2 months before an election.

 

So you agree you force people to fight in endless wars to afford college

 

• Cover the borrower's unpaid monthly interest, so that unlike other existing income-driven repayment plans, no borrower's loan balance will grow as long as they make their monthly payments—even when that monthly payment is $0 because their income is low.
  
• 
  still needs to address the interest that has piled up but at least they do this for income driven plans. Definitely important going forward if we’re still going to have this stupid debt although we still have the problem of not cutting into the principal with the payments

 

Hey I feel $10k lighter

 

Looks like it, but you still won’t cut into the principal. Obviously better than what we’re currently dealing with where I haven’t cut into the principal and racked up over 10k in interest despite not missing a payment!

 

you'd think at the very least, in addition to giving you your fucking 10k, they could also retroactively apply this rule and eliminate all that gained interest as well,

 

Ok Mitch, try telling that to my brother who lost his father within a month of a cancer diagnosis and his own mother left him high and dry to not only pay off his loan on his own, but also threw him out of the house because she had an "off day" and didn't mean to call the cops on him (my mother is a sick sick mentally ill woman sooooooo)....

Fuck right off, Mitch.

 

That's what I read too. If so, that's... fucking huge.

 

Ahhh damn. So future payments will go straight toward the current interest and not the principal? That really sucks and this policy should've definitely been retroactive

 

Have you guys seen anything about people that got federal loans but then consolidated to a private lender? Would they count or no? I didn’t do that but I know a few people who did

 

I believe this would fall into the bucket of what Congress would have to do not the President. This is a grey area but I think that statement is accurate from what I have read.

 

I do not believe they would qualify and was always one of the caveats I saw when people talked about consolidating among other things like not being able to do forbearance.

 

Yeah that’s how I read it, it says it will consider it paying your interest but doesn’t mention the principal. It’s better than the interest racking up but still doesn’t address the overall problem.

 

I don’t think that’s clear at all

 

I think we both know that is a cop-out