Posted on 12/02/2016 12:18:12 PM PST by SeekAndFind
WASHINGTON, Dec. 1 (UPI) -- An estimated $108 billion in student loans will be forgiven in the next two decades as a growing number of borrowers seek income-driven payment assistance programs, the Government Accountability Office said Wednesday.
The GAO, in a report to Congress that analyzed the cost of income-driven repayment plans, found some $29 billion more in student loans will be discharged due to borrower death or disability. Overall, the sum is double the amount estimated by the U.S. Department of Education, the report found.
The GAO criticized the department for underestimating the cost of the repayment plans and significant accounting flaws that altered projected revenues.
The Obama administration has promoted five repayment programs, known as income-driven repayment plans, to slow the tide of student loan defaults. About 5.3 billion borrowers who hold an estimated $355 billion in student loans are participating in income-driven repayment plans that also extend repayment periods from 10 years to 25. Programs that include the public service loan forgiveness plan allow loans to be forgiven after 10 years of consistent payments.
Senate Budget Committee Chairman Mike Enzi, R- Wyo., who ordered the GAO study, criticized the Obama administration's use of executive authority over student loan repayment programs.
"This extensive investigation by an independent government watchdog found that the Department of Education relied on flawed data and methods to estimate program costs," he said. " This administration has been manipulating the terms of the student loan program without the consent of Congress, while shirking its statutory duty to carefully assess the cost impact of those changes."
(Excerpt) Read more at upi.com ...
Why pay it back? Why? Good grief.
What does that mean for suckers who have faithfully paid off their loan?
What about whitey does it include whitey?
The road to publicly demanded socialism .....
Whitey pay. Whitey don’t get.
This is an EXISTING program. Not even thinking about the blanket loan forgiveness that Bernie was promising to give.
Why loans? Why not a grant? If people can’t repay it, taxpayers will be on the hook for defaulted loans anyway.
I paid every penny of my student loan back, WTF?
This was always part of the plan. It’s part of the Great Looting. “If they won’t give us reparations, we’ll take them.” It started with Pigford, at the beginning of the Obama reign of terror and the smash-and-grab of America’s wealth has continued for 8 years.
It means they are suckers, like my wife. They made it clear if she didn’t pay it would go to collection and could double the amount owed. We decided not to roll the dice and paid it.
I’m afraid sooner or later a mass student loan forgiveness will happen. Republicans may even do it in the name of self-preservation.
There is simply going to be too much pent-up political demand for it. Both from underwater borrowers, and from car dealers, realtors and others who want to sell them things.
Hillary would have won if she had embraced it. I had fully expected her to.
Like you I long ago paid off my loans and would get SCROOOOOD.
I’d opt for clawing back all of the money from the worthless, overpaid professors that didn’t teach these poor students anything of value for the money they received.
$108 billion debt for gender studies majors
GAO
Gas available overnight...
All of a sudden, everyone has a plan.
You’d almost think all them were elected, and Trump was the only person who wasn’t.
Where is the responsibility?
Your question contains it's own answer. Flakes, degenerates and criminals are valuable constituency groups. The rest get the back of the governments hand.
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