Repaying student loan debt is already a challenge for students who have managed to graduate and are able to find a job in their field that yields a decent income. But in today’s job market and economy, where attorneys are graduating from law school and driving for UBER, repaying law school tuition can be a huge burden.
The white house released a budget that proposes a saving over $1B, by getting rid of subsidized student loan program, that pay the interest on loans while students are in college. For those students who rely on student loans, and are low income, this could be devastating. Elimination of the program would add thousands of dollars to the cost of attending college.
Currently Forty-four million Americans have student loan debt and total student loan debt has reached $1.3T. In 2016 more than 1.1M borrowers went into default or re-entered default on their student loans. The Trump administration also proposes to end the Public Service Loan Forgivenss Program, which encourages people to work for the government and nonprofits for loan forgiveness.