Students will now be able to receive total, or some relief from their student loans after President Obama announced his plan to help students with their school loans.
The act/plan is great for the all the students who have, or will have any loans to pay off in their future. Students will now pay a maximum 10% of their income and will have the possibility of having their loans forgiven in 20 years instead of 25.
Obama’s plan also will allow about 6 million people with different types of student federal loans to consolidate them into one and reduce the interest rate in half according to Alexa Vaughn from the LA Times.
The plan should give hope to all those who are in major debt and find themselves paying more than 10% of their income toward their loan. It should also encourage the students of today.
As we know education is costly here in the U.S., but with Obama’s plan it gives hope to those who do not have the resources to attend expensive schools. As a student, it is encouraging to see help provided to us. Often we can feel that we are in a hole when it comes to the expenses of school.
Students should apply for student loans, but should be careful of what they are getting themselves into. They should not plunge into a major, which at the time seems to suit them, if they are not willing to fully commit to it. This should not discourage students, but encourage them to find what they want to do. They need to evaluate their will to commit.
In order for this plan to beneficial, the word needs to spread to all students. If the president plans to help all the students in the US, he must do something to ensure everyone knows of his relief plan. It would be no good if only a few thousand took advantage and the rest continued to drown themselves in debt.