Help us end the fiscal year strong. Donate by June 30. Give Now

Study: Changes to student loan repayments benefit the well-off

Jeff Horwich Oct 16, 2012
HTML EMBED:
COPY

Study: Changes to student loan repayments benefit the well-off

Jeff Horwich Oct 16, 2012
HTML EMBED:
COPY

In 2010, Congress and President Obama made major changes to the income-based repayment program for student loan borrowers. The idea was to lighten the load for people entering an uncertain job market. But today, the nonpartisan New America Foundation is out with a report that suggests the new rules might not benefit the people who are most in need.

Jason Delisle, director of the Federal Education Budget Project at the New America Foundation and co-author of the study, says  Obama’s student loan reforms would provide limited relief for low-income borrowers. Rather, it would benefit middle- and high-income borrowers, particlarly those pursuing graduate degrees.

There’s a lot happening in the world.  Through it all, Marketplace is here for you. 

You rely on Marketplace to break down the world’s events and tell you how it affects you in a fact-based, approachable way. We rely on your financial support to keep making that possible. 

Your donation today powers the independent journalism that you rely on. For just $5/month, you can help sustain Marketplace so we can keep reporting on the things that matter to you.