New student loan bill proposed in Congress.

[white_wolf]

Here are the highlights if you don't want the full article:

1. IBR would be eliminated.
2. A % would come directly out of your paycheck.
3. Interest would be capped at 50% of the loan's value.
4. No IBR forgiveness after 25 years or 10 years in public service.
5. Interest rates would be tied to the Treasury.

Link: http://www.bloomberg.com/news/2012-12-04/student-loan-collection-targeted-for-overhaul-in-congress.html

[The Magistrate]

1. Cap the Interest, Sir, And Leave The Rest

The with-holding element makes the peonage envisioned way too obvious....

"Every normal man must be tempted at times to hoist the black flag, spit on his hands, and begin cutting throats."

[limpyhobbler]

2. This sounds bad. I'm assuming this is a Republican bill.

The IBR plan and loan forgiveness for public service was one of the very best things that Obama has actually accomplished.

It's far from perfect, but loan forgiveness programs are the humane way to deal with these debts. After 25 years of payment on a degree that was never worth what it was supposed to be, that loan should be forgiven.

[white_wolf]

3. Yeah it's proposed by Wisconsin Republican Tom Petri.

[democrattotheend]

5. Actually, the IBR program predated Obama

Somehow Democrats got Bush to sign it at the very end of his presidency. One of the few good things he ever did.

[democrattotheend]

4. As an aspiring public interest lawyer counting on IBR

They better not do this. IBR was just created a few years ago with bipartisan support...it was President Bush who signed it! One of the few good things he ever did as president.

If they get rid of IBR, I will likely be forced to go sell my soul at a big corporate firm, because I would have no other way to pay off my loans. There is no way you can pay over $1,000 per month on loan repayment when you are making $45,000 in a high cost city.

[white_wolf]

6. I hear you. I'm considering doing labor law for unions.

The only way I could likely afford that is with IBR. Without it there's a good chance I'll be signing away my soul right along with you. The only good thing I see from this plan is capping interest rates.

[taught_me_patience]

7. #5 would be awesome n/t