There have been organizations and various groups who are pushing for the forgiveness of student loan debts, as this problem of college loans has grown to such a sizable amount that many students are looking for ways to simply find affordable payments on what they owe and may have resigned themselves to the fact that they could be paying on these debts for years to come. However, there are some groups who feel that our proposals to offer a wider range of forgiveness on student loan debts would be a major setback for the economy as, in the case of federal loans, it could create more of a debt burden and, since student loan debt is increasing and will reportedly surpass $1 trillion this year, there are those who simply feel that more forgiveness opportunities will create negative financial repercussions for taxpayers and federal debt.
Yet, many students may still be unaware of the fact that there are forgiveness options when it comes to federal student loans, and as a result of those who complete certain programs, are working in certain careers, or those who may simply have a high amount of debt but pay off their loans over a specific period of time could find that forgiveness is an option. Federal student loan forgiveness opportunities are usually more commonly available to graduates who enter into the public service career as a ten-year forgiveness plan is usually offered for those who qualify and, upon making 120 payments on their student loan debts, students will have the remainder forgiven.
Furthermore, there are some job opportunities that also allow for students to take advantage of retail plans that, while they are not forgiveness, will offer a set amount of funding each year that a graduate’s employer will use towards paying off student loan debt. Again, these are usually federal job opportunities that apply to federal loans, so students who are these positions will see that their employer is making payments on their debt which would obviously help when it comes to paying down debt faster and some opportunities may pay as much as $10,000 a year on an employee’s student loans. However, there is a cap on the amount of debt that will be repaid by these job opportunities in most cases, yet they are still seen as beneficial since employees will get aid when it comes to erasing their debt.
However, what many students have had to do over the past few years is simply look for ways to find more affordable payments on their student loans, which when federal loans are the debt that a student is attempting to overcome, do have opportunities like income-based repayment plans, forbearance periods that may be useful for some students, or there may be consolidation options that students can use to make their overall student loan payment obligation more affordable.
In cases where someone does not qualify for a traditional forgiveness plan, debt may be forgiven after 25 years of repayment in some cases, which may seem like a long time, but as a student loan debt increases there are graduates who may have been paying on their loans for a much longer timeframe but when these more affordable payment plans are in place this will obviously allow a graduate to find more affordable payments on monthly basis while working their way towards this forgiveness or simply erasing their debt.