Obama plan consolidating student loans

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In other words, regardless of how much former students are earning, they will never have to pay back more than 10% of their income.During bad times for the economy, this can be really advantageous for people who have the burden of student loan debt.This program offers the most encompassing benefits and if often referred to as Obama Student Loan Forgiveness. Ford Direct Loan and enrolling in an Income Driven Repayment (IDR) plan, loan holders qualify for forgiveness at the end of the term of their loan which is 20-25 years depending on their initial loan balance.There are multiple IDR repayment options that qualify for forgiveness under the William D. Additionally, there is accelerated forgiveness available for specific borrowers depending on who their employer is.

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President Obama announced that students who have been making regular payments for their federal loans are eligible to apply for one of the available loan forgiveness programs.The main goal of the loan forgiveness program is to make it easier for former students to manage their finances.Statistics indicate that a large number of them are struggling to overcome their debt burden, and this program aims to help them with this difficulty.According to the president, a college degree should not be overshadowed by the burden of too much debt, and students should be encouraged to become debt-free soon after their studies end, so they can continue living good lives.In addition, authorities hope that, with this program in place, more and more people throughout the country will decide to sign up for college.

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