Author: Nicolas Chee

The Federal Perkins Loan Extension Act of 2017 Picks Up 52nd Cosponsor

Congresswoman Elise Stefanik, seen here visiting Fort Drum Exchange, introduced the Federal Perkins Loan Extension Act of 2017.The Federal Perkins Loan Extension Act of 2017, which would extend the Federal Perkins Loan Program for two years, picked up its 52nd cosponsor last week on June 15.The Perkins loan program is set to expire at the end of September 2017 unless legislative action extends the program. If the legislative piece was to expire, approximately 500,000 students would be left without access to financial aid. Program renewals are a recurring annual or biannual tradition in Congress, and the Perkins loan program...

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Department of Education Announces Plan to Revise Two Student Loan Regulations

Secretary Betsy DeVos, seen above speaking with Brookings Senior Fellow Russ Whitehurst, announced plans to revise two student loan regulations.The Trump administration announced on Wednesday, June 14, that it plans to revise two Department of Education regulations intended to help borrowers who say they were misled by for-profit colleges.Secretary of Education Betsy DeVos announced the decision yesterday that could undo a pair of Obama administration regulations that were crafted to protect students who attended career-preparation programs at for-profit colleges and either failed to earn projected incomes or claimed they were defrauded by such schools.The first rule, known as the...

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Memphis Becomes First U.S. City to Offer Employees Student Debt Contributions

The City of Memphis, pictured above, became the first city to offer student debt contributions to city employees.The City of Memphis will soon be rolling out the Student Loan Reduction Program, a new benefit to help employees who are burdened by student loans according to a press release supplied by PR Newswire.With the desire to build and retain an engaged workforce, Memphis is the first city in the United States to offer such a benefit.Starting on July 1st, eligible city workers in Memphis will receive monthly payments of $50. The contributions will go toward principal repayment, aiding employees to...

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Young Farmers Are Putting Crops on Hold Due to Student Loan Debt

United States Representative Joe Courtney speaking at the Connecticut veterans wartime service medal award ceremony.A bill was introduced in Congress around mid-February that would allow young farmers with student debt to be eligible for Public Service Loan Forgiveness according to a press release from the sponsor, Rep. Joe Courtney of Connecticut.The move comes at a time when many young farmers are putting off farming, opting to cut down their student debt until they are on safer financial ground. Many Midwesterners worry that there simply aren’t enough young people entering the field.With that in mind, the Young Farmer Success Act of...

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Analysis Shows Hiring Debt Collectors is a Waste of Money

The United States Department of Education building in Washington, D.C.While the United States government has been relying on debt collectors to help defaulted student loan borrowers get back on track, analysis from the CFPB claims that the money is going to waste.According to a report by the Consumer Financial Protection Bureau, which analyzed almost 600,000 student loan borrower accounts, over 40 percent of borrowers who dealt with debt collectors after entering default status defaulted on their student loans a second time within three years.To put this in perspective, the Department of Education has reserved over $4 billion in funding to pay...

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