A new report by the Consumer Financial Protection Bureau (CFPB) shows that 9 in 10 of the highest-risk borrowers were not enrolled in federal affordable repayment plans that allow them to pay back their loan based on how much money they make. The Bureau also found that approximately 50% of these borrowers redefault because they are not enrolled in an affordable repayment plan, compared to less than 10% of those who are enrolled. (more…)
The Federal National Mortgage Association, also known as Fannie Mae announced today that they will make it easier for borrowers with student loans to qualify for a mortgage. This is great new for current and former students who have been overburdened by student loan debt. (more…)
A new survey by the National Association of Realtors (NAR) shows that seventy-one percent of non-homeowners say repaying their student loans on time is hampering their ability to buy a home, and slightly over 50% of all borrowers say they expect to be delayed from buying by more than five years. (more…)
Imagine having financial difficulties throughout your life. Your college training, and career choices didn’t turn out as your originally planned, and you are unable to pay back your debts such as your student loans.
15 years down the road, you’re sitting on an egg crate in your rented $500 a month apartment eating your nightly dinner that consists of Top Ramen, bologna and sugary fake fruit punch, when all of a sudden, U.S. Marshals armed with guns and bulletproof vests bust down your door to collect on your old student loan debt.
This may seem like a bad script for a corny debtor’s prison video on Youtube, but in reality, this is actually happening in a round about way in states such as Texas, where a Houston man was recently arrested for not paying his outstanding federal student loans. (more…)