http://www.mainstreet.com/article/stafford-loans-join-pell-grants-on-the-congressional-chopping-block

NEW YORK (MainStreet) — First Pell Grants got whacked. Now it's Stafford loans.

The Pell spending freeze that appeared in the Republican's budget blueprint on Tuesday would cap the max Pell Grant for ten years and roll back recent expansions of the program. Some student advocates thought the worst was over. But tucked into it was a plan to wipe out Stafford loans' in-school subsidy, reverse a roll back an expansion of income-based repayment of these loans and call a halt to the forgiveness of loans made by the Department of Education (ED).

These changes would save taxpayers more than $60 billion during a 10-year period based on the budget estimates. But they would also make student loans more expensive for borrowers--who are themselves future taxpayers--and leave them with less disposable income to put back into the economy.

Interest on subsidized Stafford loans doesn't currently accrue as long as the borrower stays in school. These subsidized loans are available to undergrads from low- and moderate-income families. About half of the Stafford loan volume to undergraduates last year was in the form of subsidized loans.

"The House plan makes college even less affordable by not only forcing needy students to borrow more and raising their cost of borrowing, but also by making it harder for student to repay their loans," said Pauline Abernathy, vice president of The Institute for College Access and Success (TICAS), based in Oakland. "For new borrowers after July 1, 2016, it eliminates Pay As You Earn and a related plan, both of which cap monthly payments at 10% of discretionary income and discharge any debt remaining after 20 years of payments."

(http://www.autoadmit.com/thread.php?thread_id=2836925&forum_id=2#27540666)

borrow your ass off to get a higher education. pay a 10% penalty every fucking year for 20 years. great idea.

(http://www.autoadmit.com/thread.php?thread_id=2836925&forum_id=2#27541178)

But, the reason Republicans always appear so insane to me is because it makes no sense to go after this first. It's like they lack the ability to order and group items beyond black/white or yes/no. There are quite literally millions of better ways to save $60 billion (who cares?) over 10 years.

(http://www.autoadmit.com/thread.php?thread_id=2836925&forum_id=2#27540689)

You have undoubtedly seen the diagrams where U.S. persons will graph what they think the tax burden distribution should be and are astonished to find that it matches Sweden and is nowhere close to the U.S. So, my point is that, at the very least, people are severely misled by Republican tax rhetoric and don't seem to do what people want.

But let's forget the morality argument and say it's all about making the economy run best. Again, all the evidence says that progressive tax reform would improve the economy. The only reason to oppose it is short-term (read: illogial) selfishness.

(http://www.autoadmit.com/thread.php?thread_id=2836925&forum_id=2#27541387)

Agreed though that most lower income people have no federal income tax burden. The other taxes add up though.

(http://www.autoadmit.com/thread.php?thread_id=2836925&forum_id=2#27541437)

Non-partisan think tank has a fairly thorough explanation looking at the combined effects of federal and state taxes.

(http://www.autoadmit.com/thread.php?thread_id=2836925&forum_id=2#27541489)

The mechanisms are different, but fed programs make education and housing more expensive in terms of the purchase price.

(http://www.autoadmit.com/thread.php?thread_id=2836925&forum_id=2#27541528)

nothing's likely to happen unless there's a crash, and the dem solution of paye only prolongs the problem while transferring taxpayer money from the government to the shithead universities

id prefer the reptile approach if only because it's inadvertently more likely break it all and force a change

(http://www.autoadmit.com/thread.php?thread_id=2836925&forum_id=2#27541559)

the damage to people who wouldn't be able to make their payments is the one thing that gives me pause, the dudes who have panic attacks on xo every time paye is mentioned are sad as fuck to watch... but i worry that each successive class is going to be worse off until the bandaid gets yanked. i managed to avoid the issue so it's mostly academic for me but man, it's shitty to watch both sides of washington carve everyone under 35 up and realize that rhetoric and pandering for votes from 105 iqers wins out over genuine concern for the populace every time

(http://www.autoadmit.com/thread.php?thread_id=2836925&forum_id=2#27541641)

This is stupid though. Doesn't maek sense to eliminate it unless you maek student loans dischargeable in BK or cap tuition or something. This whole thing is a mess. GJ boomers.

(http://www.autoadmit.com/thread.php?thread_id=2836925&forum_id=2#27540710)

http://wonkette.com/575109/vermont-proposes-official-latin-motto-wingnuts-tell-vermont-to-go-back-to-mexico

(http://www.autoadmit.com/thread.php?thread_id=2836925&forum_id=2#27541298)

Republicans are always complaining about libs who think these people are stupid for putting social principles over their economic well-being.

(http://www.autoadmit.com/thread.php?thread_id=2836925&forum_id=2#27555900)

Best of luck to those that get this stupid shit forgiven.

(http://www.autoadmit.com/thread.php?thread_id=2836925&forum_id=2#27542869)