Every week, Student Debt Relief posts a roundup of the latest happenings in all things student loan-related. This week we have four articles, each covering a different aspect of student loans.
Our first article offers an up-to-date account of the ways that Trump’s student loan policies may affect borrowers shortly. Our second article examines the recent data showing how much student loans are affecting not only Millennials but their parents as well. Our third article offers five significant risks and rewards that every borrower should examine if they’re considering refinancing their student loans in the future. And finally, our fourth article details a recent development that will offer substantial relief to many borrowers with private loans and cosigners. We hope you enjoy them!
It’s the question that student loan borrowers can’t help but keep asking: How will Donald Trump’s policies affect my student loans? Thankfully, this article does an excellent job of giving you an answer. Everything from modifying current IBR programs to shortening forgiveness schedules, to the potential privatization of student loans in general, to future earnings potential being a factor in loan worthiness, this article has it all. There is also a discussion of the need to cut college costs across the board going forward. If you’re one of the many student borrowers asking this important question, this article is your answer.
Many Americans may be surprised to learn that it’s not only millennials that are struggling with student loans, but their parents as well. In fact, while only 6.4% of student loan borrowers are age 60 and older, they still carry debt loads of $12,100 to $23,500. This segment of student loan borrowers is also the fastest growing, quadrupling in total over the last 10 years. With retirement being a primary concern for this demographic, the addition of still-unpaid student loans only adds to their financial instability. And it’s not just their loans they’re paying off, but their children and grandchildren’s loans as well.
While the subject of student loans is rarely one people enjoy having, the good news is that there are more options available today to handle them than ever before. One of those options is refinancing your student loans through a private lender. While refinancing doesn’t offer the same benefits as federal repayment options, for certain borrowers it may be an excellent choice that saves them a substantial amount of money over their repayment term. This Forbes article does a great job of giving you five simple risks and rewards to evaluate that will help you decide if refinancing is the best option for you.
In a rare but meaningful win for all private student loan borrowers, 10 banks recently announced that they were relaxing their policies on triggering an immediate default on loans when cosigners die. This development was meant less as a kind gesture to struggling borrowers and more of a response to the potential illegality of auto-defaulting on loans regardless of whether or not they are current on payments. While this improvement will only affect a small portion of total student. Borrowers, it’s a sign that the landscape for student loans may be shifting in borrower’s favor.
Be sure to check back every Friday at Student Debt Relief for our Weekly Roundup of the latest news and updates regarding the student loan industry!