The interest rates on student loans issued by the federal government is set to double at the start of July if lawmakers cannot come to an agreement to extend the current rates. However, with just weeks until the deadline, federal officials say a number of obstacles still remain that would prevent the plan from going… Read More

Last month, the U.S. Department of Education’s Office of the Inspector General lobbed a grenade at the federal student aid program. In a harshly critical memorandum to the Federal Student Aid’s Chief Operating Officer, the assistant inspector general condemned the agency’s repeated failure to validate the accuracy of certain subcontractor invoices before authorizing payment. These… Read More

When faced with the staggering statistics on student loans, such as the fact that total student loan debt has surpassed the $1 trillion mark and that student loan debt for those age 18 – 29 is up 76% in five years, it’s easy to feel helpless. And even more so if you are one of… Read More

Consumers have markedly changed the ways in which they carry debts, and this is particularly true of younger people who may have become adults during or immediately following the recent recession. However, even as many have cut their balances significantly during this time, much of what they still carry is largely composed of student loan balances. Between… Read More

Student loan forbearance or deferment are popular options for those who are finding it hard to pay student loans, but borrowers may be making an expensive mistake when they enroll in one of these programs. First, here’s a brief overview of the four main income-based repayment programs. Keep in mind these apply to federal loans,… Read More

Sen. Kirsten Gillibrand (D-NY) recently introduced the Federal Student Loan Refinancing Act, a piece of legislation that calls for the refinancing of all higher-rate Federal Direct and Federal Family Education (FFEL) student loans at 4% interest. She estimates that her plan will assist nine out of 10 students who borrowed under the various federal education… Read More

Last week, the Republican majority in the House of Representatives passed H.R. 1911, the Smarter Solutions for Students Act. Unfortunately, it’s neither smart, nor a solution. The legislation pegs all Stafford Direct Student Loan rates (subsidized and unsubsidized) to the 10-year Treasury note, adjusted annually, plus 2.5% to cover administrative costs. Borrowers who qualify for subsidized… Read More

Student loans are supposed to help middle-class kids pay for a college education, but these days they can do more harm than good. It’s high time we did something about that. If you imagine a world where the federal government and private lenders actually partner with students, instead of treating them as a profit center,… Read More

The student loan crisis deserves all the attention it has attracted — and more — especially if we’re serious about tackling this trillion-dollar tragedy in a comprehensive way. But let’s not make the mistake of focusing all our good efforts on outcomes without addressing causes as well. I’m referring to colleges and universities so under… Read More

Remember that first week of college or university, when you wondered how you’d ever make it through? If you’re like most students, simply trying to map out your course schedule probably felt overwhelming. There there were forms to fill out, books to buy, and lots (and we mean lots) of coursework. Hopefully, you had a… Read More