Reply
Valued Member
CluelessCredit
Posts: 28
Registered: ‎07-29-2010
0

Student Loan Forgiveness Act of 2012

[ Edited ]

Forgive me if this is not in accordance with the rules, but I thought many people in this forum would like to know about a bill that has been proposed before congress.

 

The Student Loan Forgiveness Act of 2012

 

I'll summarize some of the points: (lots of info taken from http://www.huffingtonpost.com/rep-hansen-clarke/student-loan-forgiveness_b_1454241.html )

 

 

1) The bill provides full loan forgiveness for current borrowers who have paid the equivalent of 10 percent of their discretionary income for 10 years or who are able to do so over the coming years. (so after 120 payments on the loan forgiveness is possible)

 

2) caps interest rates on federal student loans at 3.4 percent

 

3) allows many people to convert private loans into federal loans

 

4) unemployment and/or illness would be eligible to enroll in the new program

 

5) max loan forgiveness amount: $45,520 (new borrowers) 

                                                              full loan amount (current borrowers) ***thanks to SyntheticMemories for info

 

 

To lend your support (or not) visit: http://hr4170.com/   Also, if you would like to send a letter to your congressman:

-go to opencongress.org

-click "Bills" button

-click "Most Viewed" button

-select H.R. 4170 Student Loan Forgiveness Act of 2012

-in the top right portion of the window you have the right to oppose or support

 

*once you enter your zip code it will automatically select the correct congressman and provide a generated document that you can mail with the click of a button for free.

 

Just for information sake,

 

Clueless


Equifax Fico Score: 793 (per last Discover IT statement)
BoA Accelerated Cash Rewards AMEX - 10k
Chase Freedom MC - 5k
Discover IT - 7.5k
Valued Contributor
Repo-ed
Posts: 2,954
Registered: ‎02-09-2012
0

Re: Student Loan Forgiveness Act of 2012

The DGF NEEDS this :smileyvery-happy:  Only $76,200 left to go on her student loan!

Regular Contributor
lolabelle
Posts: 146
Registered: ‎11-03-2009
0

Re: Student Loan Forgiveness Act of 2012

Numbers 2 and 3 would make me especially happy!  There's something not quite right when my private variable interest rate loans are currently at a much lower interest rate than 2 of my fixed interest rate federal loans.  I would love for them all to drop and to be able to consolidate them.

 

 


Starting Score: 732 (EQ)
Current Score: EQ 08 - 837! Whoo!! (5/14/14);EQ 04 - 795! (5/15/14) 748 (TU - 5/21/12); 760 (EX - 4/16/12 AMEX pull)
Original Goal Score: 760+ EQ --> decimated!
New Goal Score: Just keep swimming...


Take the FICO Fitness Challenge
Established Member
SyntheticMemories
Posts: 53
Registered: ‎02-27-2012
0

Re: Student Loan Forgiveness Act of 2012

ACTUALLY:

 

On Number five:

 

(3) QUALIFIED LOAN AMOUNT- After the borrower has made 120 monthly payments described in paragraph (1), the Secretary shall forgive--

            `(A) with respect to new borrowers on or after the date of enactment of the Student Loan Forgiveness Act of 2012, the sum of--

                `(i) the balance of principal and fees due on the borrower's eligible loans as of the time of such forgiveness, not to exceed $45,520; and

                `(ii) the amount of interest that has accrued on the balance described in clause (i) as of the time of such forgiveness; or

            `(B) with respect to any other eligible borrower, the balance of principal, interest, and fees due on the borrower's eligible loans as of the time of such forgiveness.

 

So, if we're done...we qualify as B. At least, that's how I've read it, and seen other people understand it. 

 

Basically, if we're done, we qualify for all of our debt after ten years of on time payments. But, if we are a new borrower on or after the date that this bill passes (hopefully), then you can only get forgivness for 45,520 after the ten years. 

Wallet: Citi Foward; 10,000, Lane Bryant; 1,800. AMEX BCE: 2,000 Discover IT: 7,200


Starting Score: 738 (2-27-12)
Current Score: Equifax: 786 (1-24-14) Experian: 749 TransUnion: 772 (4-17-12)
Goal Score: 760 across all 3


Take the FICO Fitness Challenge
Established Member
SyntheticMemories
Posts: 53
Registered: ‎02-27-2012
0

Re: Student Loan Forgiveness Act of 2012

Understandable version: 

http://hansenclarke.house.gov/sites/hansenclarke.house.gov/files/documents/1-pager%20SLFA.pdf

 

The bill in full: http://www.forgivestudentloandebt.com/content/student-loan-forgiveness-act-2012-hr-4170-bill-text

Wallet: Citi Foward; 10,000, Lane Bryant; 1,800. AMEX BCE: 2,000 Discover IT: 7,200


Starting Score: 738 (2-27-12)
Current Score: Equifax: 786 (1-24-14) Experian: 749 TransUnion: 772 (4-17-12)
Goal Score: 760 across all 3


Take the FICO Fitness Challenge
Established Contributor
aussiesareforever
Posts: 741
Registered: ‎10-04-2010
0

Re: Student Loan Forgiveness Act of 2012

Thank you. This will be a lifesaver for me if it goes through...I still owe over $70K. I signed the petition and encourage many other people to!!!

BK in 2008, after making very stupid financial decisions.

Barclay's Apple Financing Card ($6400) --- Capital One Quicksilver ($10,000)---GEMB CareCredit ($5700) --- AUFCU ($10000)--- Walmart ($5000)

FICO Scores: TU 735 EQ 709 EX 740 (Feb 2013, all pulled by lender)

Frequent Contributor
GST2008
Posts: 443
Registered: ‎03-22-2008
0

Re: Student Loan Forgiveness Act of 2012

I believe I read that if the bill passes, it also will affect the Public Service Loan Forgiveness Program as well.  It should decrease the number of payments by half for those working in the public sector, making in five years (60 payments) for loan forgiveness versus the current ten (120 payments).  This would be amazing considering I owe the Federal Government a Bentley :smileyhappy:


Current:
TU (5/14/14): 796 (Inquiries; 8/23/13)
EQ (3/23/14): 791 (Inquiries: 8/23/13)
EX (9/24/13): 780 (Inquiries: 7/2/12; 11/20/12; 7/30/13; 8/23/13)

Goals: No new inquiries for 2014, 800 for all CRs by 12/31/14
Moderator Emeritus
webhopper
Posts: 7,230
Registered: ‎09-16-2011
0

Re: Student Loan Forgiveness Act of 2012

My student loans are 20k. Every year since 2006 ive paid in close to 30k in taxes. Its about time they used the money to do something that will benefit me. If they put an income restriction on it I will scream.

Starting Score: 08/29/2011 TU 671 EQ 674
Current Score: TU 754 EQ 694 EX 697
Wallet: NFCU Visa Sig 25k, Amex Lowes 22k, NavCheck 15k, Amex PRG, Amex Zync, Discover It 13.5k, Amazon Visa 5k
Platinum Spade Garden Club Member: App Free since 1/1/13. No more apps til who knows when?
MyFICO Fitness Goal: 800s Club!



Take the myFICO Fitness Challenge
Regular Contributor
lolabelle
Posts: 146
Registered: ‎11-03-2009
0

Re: Student Loan Forgiveness Act of 2012


webhopper wrote:
My student loans are 20k. Every year since 2006 ive paid in close to 30k in taxes. Its about time they used the money to do something that will benefit me. If they put an income restriction on it I will scream.

+1 on the scream.  There's nothing more frustrating for me at tax time than the income caps on the student loan interest deduction.  I pay a crap ton of money every year in interest on my student loans and can't claim a penny of it.


Starting Score: 732 (EQ)
Current Score: EQ 08 - 837! Whoo!! (5/14/14);EQ 04 - 795! (5/15/14) 748 (TU - 5/21/12); 760 (EX - 4/16/12 AMEX pull)
Original Goal Score: 760+ EQ --> decimated!
New Goal Score: Just keep swimming...


Take the FICO Fitness Challenge
Senior Contributor
Booner72
Posts: 3,889
Registered: ‎05-24-2011
0

Re: Student Loan Forgiveness Act of 2012

I have three years in as a public employee.  When i read this would change it to five years my stomach just lurched.  that's like winning the lottery!  PLEASE PASS THIS BILL!

STARTING: 11/24/10 EQ-584 EXP-648 TU04-595
CLOSED FIRST HOME 8/19/11 EQ-630 EXP-691 TU04-653
CURRENT: EQ-701 EXP-??? TU08-720

myFICO is the consumer division of FICO. Since its introduction 20 years ago, the FICO® Score has become a global standard for measuring credit risk in the banking, mortgage, credit card, auto and retail industries. 90 of the top 100 largest U.S. financial institutions use the FICO Score to make consumer credit decisions.

>> About myFICO
FICO Score - The Score that matters
Click to Verify - This site chose VeriSign SSL for secure e-commerce and confidential communications.
Fair Isaac Corporation is a BBB Accredited Financial Service in San Rafael, CA
FOLLOW US Social Media Facebook Twitter Pinterest Google+
}