Learn More About Student Loan Forgiveness
Today there are millions of graduates and current students who are saddled with debt from student loans. Each semester you spend in college is another semester spent adding to your debt if you’re not paying out of pocket. For many, this means a mountain of debt once you enter the job force.
Worse yet is a situation many graduates are facing, where their degree isn’t landing them an immediate job and they’re having to work below their abilities to generate income. Because of this, the balance of their student repayment each month is often a massive part of their take home. Some students go back to school, some enroll in income-based repayment plans, and many more simply scrape by paying as little as possible.
There is another solution, however. Thanks to the Revised Pay As You Earn (REPAYE) plan initiated by President Obama, many graduates are finding it easier to pay back their loans in smaller increments each month!
Understanding Obama student loan forgiveness in Connecticut means working with an attorney who understands two things: debt and the law. At Jefferson Hanna Law, these are the pillars of our service, and we’ve taken special interest in helping graduates understand how they can make the most of the revised REPAYE terms, to lead a life that’s not controlled by crippling debt.
Under REPAYE, your monthly payment towards your student loan balance is just 10% of your discretionary income and your loans discharge after 20 years of repayment! This new plan applies to all direct student loan borrowers and there is no partial fiscal hardship (PFH) requirement. To learn more about student loan forgiveness, speak to an attorney at Jefferson Hanna Law today!
Understanding your options as a graduate can take you a long way towards reaching the 20- or 25-year discharge goal, where you’ll experience loan forgiveness! Take a look at some of the plans, their criterial and the forgiveness timeline of each:
- 2014 IBR: Income-based repayment is applicable to borrowers who took their first loan out on or after July 1, 2014 and have PFH. The maximum repayment for those eligible is 10% of monthly discretionary income and loans discharge after 20 years.
- PAYE: The original Pay As You Earn plan is eligible for direct borrowers who received loans after September 30, 2007 and another loan after September 30, 2011, who are experiencing PFH. Again, repayment is capped at 10% of discretionary monthly income and loans discharge after 20 years.
*It’s important to note that if you’re already enrolled in an income-based repayment plan, you are not eligible for REPAYE.
Get loan help
To fully take advantage of Obama student loan forgiveness in Connecticut, speak to a professional at Jefferson Hanna Law. We understand all of the nuances of student loan forgiveness and can help you in understanding what you’re eligible for, as well as what the best course of action might be for discharging your loans. We want to help you approach the world without the burden of debt on your back! Call us today at 860-347-4741.