Hilary Clinton recently introduced a meticulously crafted plan that is meant to contend with debts in higher education. If she becomes President, she plans on spending $359 billion dollars to solve the problem of excessive student loan debt that is hurting the nation. The plan gained quite a bit of attention from general public, and was generally praised by experts and student loan borrowers alike. It is expected that the plan would save current student loan borrowers roughly $2,000 per year.
The plan will set a large number of changes in place, and aims not only to fix the current student debt situation, but replace the current way Americans pay for college with a new, better one. Some of her ideas are tested by the past, some were already discussed in Congress, and some were already set in motion by President Obama. She wants to put all positive things that already exist together with new ideas to increase the efficiency of college and university financing in the country. The plan is named New College Compact and will surely be unpopular among GOP politicians because it includes large tax cuts from the richest Americans.
She discussed the plan in New Hampshire recently, saying that attending a public college shouldn’t require students to take on debt. She continued to express her beliefs that all current borrowers should be eligible to refinance their loans at lower interest rates.
When she stopped by Iowa later during her campaign, Clinton offered additional proposals aimed at helping nontraditional students complete their degrees. Nontraditional students include people who already have kids, are in need of special medical attention, and many others. This plan will likely lure a large number of college votes to Clinton.
One of her campaign officials called the plan a combination of ideas that will change the way we finance higher education in this country from the roots. Her most immediate goal is allowing students to attend four year public colleges without the need to take out loans, make states dish out more money to higher education, and encourage institutions to spend less while increasing graduation rates. She aims toward establishing a reward system for successful implementation of innovative ideas too.
There are a huge number of talented people who cannot attend college simply because their families can’t support the financing. All of them applaud her efforts and hope that the new plan will change the current situation for the better. People who suffer from severe student loan debt are in a dire situation, and this plan could be their hope for a better future. Student loan debt recently surpassed credit card debt and represents a huge problem for everyone in the country.
Republicans have their own view on the matter as well. The Chairman of the Senate Education Committee, Lamar Alexander, says that tuition for public colleges is affordable in this moment in time, and people with more than one hundred thousand dollars in debt represent a definitive minority. Republicans believe these kinds of plan always lead toward larger taxes, diminished freedom of choice, and harmful lack of independence for educational institutions.
Clinton, on the other hand, blames states for not providing enough for higher education. Federal scholarships are being increased, but states continue to decrease their contributions to helping students attend college, she says. According to the presidential candidate, this difference is particularly troublesome for low income students.
She noted that students who attend higher educational institutions in New Hampshire pay nearly twice as much as their colleagues in Maine, which is represented by a Democrat, Maggie Hassan. She is working hard toward reversing the state’s troublesome policies toward investment in higher education, Clinton said, and more states should do the same.
Federal investments are a part of her plan, but only if they are guaranteed to be followed by state investments too. Her campaign had a lot of praise towards some initiatives Obama administration put into motion, especially in Pell Grant spending and expanding programs that base payment amounts on income. Still, the prevailing issue is changing the system which led to a massive $1.2 trillion dollars in student loan debt.
She is glad that there are multiple proposals and a widespread public interest for solving the huge problem of student debts. Her plan contains a lot of successful aspects from various other initiatives, and new ideas which would, in her opinion, greatly improve the college experience in America. It is unclear if Clinton would try to make any changes to the private school loans industry.