NEWS, SPORTS, COMMENTARY, POLITICS for Gloucester City and the Surrounding Areas of South Jersey and Philadelphia

Miguel Anjel Barberena Morales, of Camden City age 62
Diocese of Camden - Ten men ordained as deacons

Andrews Highlights Path to Higher Education and Competitiveness

Haddon Heights, NJ- Earlier this week, Congressman Rob Andrews spoke with Drainco Tower Ad student financial aid administrators, highlighting new student loan programs which pave the way for millions of Americans to succeed in today’s job market without being overwhelmed by student loan debt. Rep. Andrews focused on a little-known repayment program that provides student loan relief to graduates who enter lower-paying careers or suffer setbacks such as unemployment or serious illness.  He emphasized two points-- that a college educated workforce increases America’s competitiveness in today’s global job market, and that no one should go broke because he or she decided to go to college. 

The Income Based Repayment (IBR) program lowers monthly payments low income graduates who are struggling to meet their student loan debts. Under the IBR, borrowers can cap their payments at 15% of discretionary income, calculated based on monthly income, family size, and state of residence.  If payments are

made on time, any remaining balance will be forgiven after 25 years.  For example, someone with a family of four and an annual salary of $40,000 could pay only $87 per month.  Thanks to a new law signed by the President last year, students receiving loans after July 1, 2014, will be able to lower their monthly payments to 10% of their discretionary income, with any balance forgiven after 20 years. Public service workers – such as teachers, nurses, and those in military service – will see any remaining debt forgiven after just 10 years.

“In this difficult economy, we need a strong commitment to education so that our country continues making breakthroughs that will spur job growth and make America more competitive with the rest of the world,” said Congressman Andrews.  “Programs like the IBR are re-vitalizing our efforts to create opportunities by investing in our greatest asset, our people - the same way we did in the 40’s with the G.I. bill, and in the 60’s with the Higher Education Act.”

More than 1.2 million new borrowers are projected to qualify for IBR relief, according to the Department of Education.  If your federal student loan payments are high, and you feel that you may be eligible for IBR, or just want more information, please contact Congressman Andrews’s office at (856) 546-5100 or click here to contact us.

via www.house.gov

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