abc
QUICK LINKS:

President Obama Expands Student Loan Relief

Updated: 06/09/2014 11:34 PM
Created: 06/09/2014 11:32 PM WDIO.com
By: Ellen Galles

President Obama is signing a presidential memorandum that could help an additional 5 million borrowers with their college loans.

The program is called "Pay As You Earn."  It's already in effect for recent grads and now the president wants to expand the program for people who took out federal student loans before October of 2007, or stopped borrowing in 2011.

The program caps federal student loan payments at 10 percent of a borrower's income.  That can make a big difference. 

One recent grad told us he has about $90,000 in student loans, and is scrambling to pay them down as quickly as he can.

"Right now it's everything. I revolve all my budget planning around that. I'm expecting a child, and what we can do for our child really depends on our student loan situation," said Alex Zachman of Buffalo, Minnesota.

Obama is also calling for legislation in Congress that allows students to refinance high-interest debts at a lower rate.

Front Page

  • Ice Fisherman's Body Found in Northern Wisconsin Lake

    A 77-year-old man's body was found in a lake in northern Wisconsin Sunday morning after not returning home from fishing the previous day. Louis Bickel of Mason had gone ice fishing on Perch Lake in the Town of Drummond in southern Bayfield County on Saturday, according to the Bayfield County Sheriff's Office.

  • Hermantown, St. Scholastica Grad to Bike Across Country for Mental Health

    David Romano, 23, is about to begin the trip of a lifetime. He will bike from San Francisco to Washington D.C., stopping along the way to share his story and raise awareness of mental health. It's a trip, Romano says, never done before for mental health.

  • SWAT Teams Converge on Duluth for Specialized Training

    Duluth is playing host to one of the largest special operations trainings for SWAT team members in the Midwest. The three-day specialized training in everything from crisis negotiation to hostage rescue comes only once a year.

  • 2 Killed in Crash of Piper Cub Plane in Northern Minnesota

    Two people have died in the crash of a small plane south of the Pine River airport in north-central Minnesota. The National Transportation Safety Board says the crash of the single-engine Piper Cub J-4A was reported just after 6:30 p.m. Friday

  • Otters Celebrate 2nd Birthday at Great Lakes Aquarium

    A couple of cute critters were celebrating their birthdays down at the aquarium on Sunday. agate and Ore are North American River Otters who arrived at the Great Lakes Aquarium last spring from Louisiana.

 
Advertisement