Student Loan Income-Based Repayment Option

[wuapinmon]

For those of you with large student loan payments on a 10-year repayment plan, relatively low incomes, and dependents, check out this webpage:

http://www.ibrinfo.org/

This is life-changing for me. Since I work for a 501 (c)(3) corporation, I also qualify for the Public Service Loan Forgiveness Program. My montly loan payment will go from $985 to $120. I am elated.

To all the CUF profs, it's worth the time to put in your info to that website and see if you qualify. I almost cried when I saw the numbers.

IBR = balance forgiveness after 25 years of payment
PSLF with IBR = balance forgiveness after 10 years of payment

This is life-changing para los Williams.

[JohnnyLingo]

From each according to his ability, to each according to his need.

[New Mexican Disaster]

This is why I am a public interest attorney. In another 81/2 years all will be forgiven. That is like a 250 k bonus for me.

[Fiyero]

Yeah this went into effect July 1. I shouted for joy when reading the press release:

http://www.cnn.com/2009/US/06/24/college.loans/index.html

[frank ryan]

Good find comrade

[Drunk Tank]

Congrats Waup. That is awesome. My wife's SL payment is $485, but was just put on forbearance due to her returning to school to get her PhD. Hopefully this will help out for her. I dont know how we'll swallow a $1300 a month SL payment when she graduates.

EDIT...After looking at the calculator, we prob. wont qualify. Nice program for those that do though.

[Hallelujah]

Yeah this went into effect July 1. I shouted for joy when reading the press release:

http://www.cnn.com/2009/US/06/24/col...ans/index.html

Cool. Makes repaying medical school look a lot more manageable.

Great that the government is using other people's tax monies and paying off student loan debt if you go to work for the government. Who says there is a recession? Go to work for the government. Never get laid off because of poor performance. Yearly salary increases. Great health insurance and pension. And you get to help the size of the government. Very clever...unless I am misunderstanding the bill.

[doctorcoug]

This is a bill passed by attorneys that didn't think twice about what they were doing.

I and practically every resident physician in the US of A works for a 501 (c)(3). So, suppose a cardiothoracic surrgery resident has 3-4 kids and 250k of debt. They spend 8 years in residency, graduate and work for a hospital for 2 years and then have all of their debt wiped clean? Utter stupidity. Also, who is paying for this nonsense?

With the loan repayment programs out there, I'll be out of debt before I have the 10 years under my belt. However, I have to start paying off my loans now, as opposed to having economic hardship deferment and forebearance. I live off of a tight salary. I would prefer to be able to put off these payments until after I'm done with residenc, even if it costs me more in the end because I'll pay significantly less, proportionately.

The great Kennedy, when this was brought up, said that physicians are an afterthought of a memory for lawmakers.

This seems like a nice program, bit it is going to be abused by sub-specialists, those that are going to be making 500k a year due to a flawed payment system. Government stepping in and masturbating with the invisible hand.

[PaloAltoCougar]

This is a bill passed by attorneys that didn't think twice about what they were doing. ...
The great Kennedy, when this was brought up, said that physicians are an afterthought of a memory for lawmakers....

Probably true, except for securities regulation legislation. When substantial revisions were made to those regulations in the '80s, one person who had contributed to the legislation spoke to my law firm, reviewing the changes and, as he literally closed the book at the end of his presentation, said solemnly, "And thus ends yet another attempt by Congress to protect doctors and dentists from their own greed."

[doctorcoug]

I don't deny our greed. Some sub-specialists make me sick.

[statman]

I hate student loan people...

my wife and I fall into a huge SL donuthole. We're paying ~8% interest on our substantial student loans, with no possibility of refinancing. Nice...

[falafel]

This is why I am a public interest attorney. In another 81/2 years all will be forgiven. That is like a 250 k bonus for me.

Yeah, but don't you think you could have made at least $250k in 3-4 years of private practice?

[snowcat]

I'm an idiot. I finished school with no debt.

[Fiyero]

my wife and I fall into a huge SL donuthole. We're paying ~8% interest on our substantial student loans, with no possibility of refinancing. Nice...

I have a friend currently in an "income sensitive repayment plan" that spreads 90K in loans over a 25 year repayment plan which, at 8% interest, ultimately will run $215K.

Yeah, but don't you think you could have made at least $250k in 3-4 years of private practice?

I have a couple of friends who graduated in 2006 and are doing personal injury for five years in order to get out of debt. They hate it and feel like weasels, but say that's where the money is and can't wait to open their own small LLC in 2011.

[falafel]

I have a couple of friends who graduated in 2006 and are doing personal injury for five years in order to get out of debt. They hate it and feel like weasels, but say that's where the money is and can't wait to open their own small LLC in 2011.

If they do PI for 5 years, I doubt they will get into more "sophisticated" law. The money is too good for an adequate PI lawyer to resist.