Quick repayment of student loans that opens up an opportunity to graduated students to move ahead to a period of money investment in their lives has San Diego Representative Scott Peters agreeing with President Obama's plan to reform student loan repayment. A yes vote on the Federal Student Loan Refinancing Act did not, alone, make affordable higher education a reality for students in San Diego. But, Peters has not finished work on his plan to ease the student loan debt burden.
His Student LOan Repayment Assistance Act, introduced inteh House before the Augut recess, would actually lower the cost a former student pays to pay off tudent loan debt. Shortening the time to debt free life planning.
And, encouraging more students to make an investment in higher education. An investment, Peters says, "our country needs."
“Affordable higher education for every American has been central to our nation’s competitiveness and success,” Rep. Peters said. “I would not have been able to attend college without student loans and work study programs. This is a time to be making it easier and more affordable for students to go to college, not keeping it financially out of reach for more and more families.”
During last Saturday's weekly address, President Obama, again stressed the unfavorable education opportunities caused by the uncertainty Americans face paying for an education that gets them into a good paying job, and the middle class, and, he asked COngress to lay a bill in front of him that sets up federal student loan refinancing at today's lower rates. Refinancing, he said, would put more money in students' hands, and less in the big banks. Capping loan payments at 10 percent a graduate's income was not enough. Peters' bill would give San DIego's educated workers, and all educated American workers, an opportunity to agree with an employer on a matched contribution loan pay off plan.
The President plans on loans making "everyone" fit to pay for an education that takes the employment and earnings limits out of theri life. Expanding opportunties for the high school graduates the President reported make 28,000 dollars less a year than workers who earned a bachelors degree stays a priority for Peters.
High unemployemnt rates made action on rasiing higher education success a lead plan for both the President, and Rep. Peters. The President stands firm against the federal government not acting to change the unemployment rate among Americans with a bachelor's degree that is "less than one-third of the rate for those without a high school diploma."
Leaving a student from any background without a quality education Peters finds a key to an American worker's success in a competitive economy falls below Peters' standard for affordable education financed by loans.
Employees and employers would agree on a loan payment taken out of the employee's pay, and, a matching payment made by the employer. Money earned and payed out in a payment would not add to taxable income. Total payments could pay off up to 6,000 dollars a year. Up to 50,000 dollars during a lifetime.
The bill would also extend the federal loan payment deferral period from 6 months to 12 months during periods the national unemployment rate raises up above the regular unemployemnt rate.
THis is an On The Watch Take.