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

To increase purchasing power, strengthen economic recovery, and restore fairness in financing higher education in the United States through student loan forgiveness, caps on interest rates on Federal student loans, and refinancing opportunities for private borrowers, and for other purposes. view all titles (2)

All Bill Titles

  • Official: To increase purchasing power, strengthen economic recovery, and restore fairness in financing higher education in the United States through student loan forgiveness, caps on interest rates on Federal student loans, and refinancing opportunities for private borrowers, and for other purposes. as introduced.
  • Short: Student Loan Forgiveness Act of 2012 as introduced.

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Displaying 31-60 of 63 total comments.

  • Comm_reply
    BacktoBasics 03/23/2012 12:39pm

    You bring up a good point about some students. Some students are serious about education and preparing for the future…while some use University to party and live life to the fullest before taking full responsibility for themselves. University is suppose to be finished in 4 years, yet more and more are taking 5-6 years to complete a Bachelor’s degree.

    As I mentioned above, I do not think this bill addresses the real problem, which is skyrocketing tuition which leads to large debt…solve the tuition problem and they effect will go away.

  • Comm_reply
    Websurfer 03/24/2012 6:05pm

    And homeowners should get a bailout because they bought too big of a house and used their home as a retirement vehicle?

  • Comm_reply
    kelmn07 03/30/2012 1:37pm

    This just spews of ignorance. Fed loans are low NOW. Not then. Not when the people that are suffering now took them out. 6.8% fixed for a federal loan-not refinance-able. Get it? Private would have been higher. What other choice was there?

    I’m sick of reading these stupid, uninformed responses of people spending financial aid on trips, or wasting money on women’s studies, or psychology and such-these are moronic, false statements. I know I never took trips or even had direct access to any of my loans, they were paid directly to the school. Stop spreading stupidity.

  • Comm_reply
    SFletcher 07/12/2012 3:51pm

    “Wasting money on women’s studies or psychology and such” – these are very viable things to study and enhance a needed knowledge in society.

  • Keirnal1 03/14/2012 12:10pm

    If the tax payer isn’t involved in your decision of which school you attend and what major you study, the loan you take and the interest rate you take the loan at, then the tax payer shouldn’t be involved in the repayment of your loan. Period. The tax payer should have no presence in any of these places.

  • Comm_reply
    SDietz 03/21/2012 9:28pm

    Where do you think the Federal Government got the money to give out the loan in the first place?

  • Comm_reply
    nokonwod 04/25/2012 12:48pm

    The taxpayer is currently involved in all of this debt. Look at the numbers – the debt keeps climbing and none of it is being given back. people get crushed by it and can’t move forward. I agree there are lots of underlying issues that should also be dealt with, but this is a great way to get things back on track for millions of Americans. This is not the problem of a few, this is the problem of many.

  • Spam Comment

  • Comm_reply
    BacktoBasics 03/23/2012 12:43pm

    Debt forgiveness is very different from refinancing.

    And why does someone who, for 12 years has made all their payments on time need forgiveness?

  • Comm_reply
    Websurfer 03/24/2012 6:12pm

    Because private loan vendors don’t care if you have financial hardship, lose your job, get disabled (sometimes they can get discharged for disability in bankruptcy). Plus, private loans are usually repaid in 25 year terms. They love deferments and forbearance because they interest accrues and you have to pay it back.

  • Comm_reply
    spingus 04/26/2012 8:26pm

    Negative amortization. Can’t pay the full amount due? Pay what you can right? Then fees, then interest capitalization and the principal balance goes up putting the person deeper into debt.

    Example: Undergrad+grad school in Biology =$132000 borrowed for one student. A couple layoffs, months of unemployment, debt goes into hardship forbearance at 7.5% interest and now equals $220000.

    A person going into Biotech was told in the early 2000’s they could figure on making70-80k with their degree, but ended up with 38k. The loans go into extended payment that is negatively amortizing but gets ‘forgiven’ after 25 YEARS. The balance now is about 500k. THEN the former student owes a tax bill on the forgiven portion of the loan, likely has no retirement or other savings and is well into middle age.

    All those years spent paying student loans and NOT building future security, patronizing business in their community or giving charitable donations and now what? Welfare. Welfare til they die.

  • Comm_reply
    Cathy855 03/31/2012 6:53pm

    Agree, at least this bill has people paying on the loans based on a percentage of their income for 10 years and at least still be able to have a family and a life and to contribute to the economy. Is it the fault of these students that the government went into a recession and no jobs are out there that allow you to pay back the loans and also food, rent, GAS for your car? Those that “paid back your loans” GREAT FOR YOU! I bet your college cost were not as high and you obviously were able to get a job in order to do so!

  • Comm_reply
    nokonwod 04/25/2012 12:51pm

    AGREED ! and well stated – it is unfortunate that we are in this position, but the solution is NOT to avoid solution. History shows, people cannot repay and feed their kids. Settling SOME of the debt is way better than none – why do you suppose so many creditors offer discounts on old debt ? It would be a huge step in boosting our economy.

  • Flash 03/21/2012 9:43am

    Apparently, many of the folks supporting this bill did not understand the “nuances” of an Education Loan either.

    In my opinion, this is the reason the government should stay out of it. If the government had not stepped in to make all these loans so easy to get, perhaps not so many people would have been “duped” or straddled with such debt.

  • Comm_reply
    kelmn07 03/30/2012 1:41pm

    Right because private institutions and lack of reforms really seam to be working for the better, airline industry – boom. Housing market – boom. Student loans – boom. Amazing how it didn’t happen when privatization existed.

  • Comm_reply
    kelmn07 03/30/2012 1:41pm

    *When privatization didn’t exist.

  • franhinkle 03/21/2012 4:55pm

    As a democratic woman who works in the programming field and having wracked up approx. $47k in student loan debt, I have to say that I do not fully support this bill.

    Sure, it would be wonderful for my loan debt to be dismissed or “forgiven” as it’s worded in this bill. But I knew full well what I was getting into when I signed those loan forms. There was a part of me that felt as though I had little choice given that scholarships only pay for so much, but I wanted an education and I was willing to accept the responsibility to pay for it (mostly private loans).

    I do, however, support the concept of capping interest rates and more refinancing options for federal student loans — rates got pretty crazy there for awhile and have risen again in recent times. I was fortunate enough to take advantage of a consolidation program a few years back. It locked the interest rate of my federal loans and helped substantially with our monthly payments. For that, I am grateful.

  • Comm_reply
    kelmn07 03/30/2012 1:45pm

    bq I was fortunate enough to take advantage of a consolidation program a few years back.

    Which explains why you had no problem paying back your loans. I’d also be curious to know what your starting salary was compared to your loan amount then, as opposed to graduates are at now. In my first two years at a ‘real job’ after graduation I made the same as I did waitressing.

  • ColtonProvias 03/27/2012 6:43pm

    Upon reading this bill, it seems more of a bill that will get Democrats praising it while aiming to anger Republicans, especially with the Overseas Contingency Operations line at the very end. It seems doomed to not pass and if it ever makes it to vote will become quite the hot topic in the media.

    In my opinion, the best method may be to cap tuition along with all of the semester expenses (room, meal plan, activity fee, etc.) for public universities.

  • only1ranger 04/18/2012 8:58pm

    Undergrad loans: $40,000+ at 7.1% 1995 – 1998, $10,000+ at 5.7% in 1999-2000.
    Racked up an addition $15,000 in credit card debt
    Graduated and paid off all debts by 2006

    Graduate school loans: $35,000 at 6.5% 2006 – 2008
    Zero credit card debt (learned my lesson)
    Graduated and paid off loan in 2012

    Also worked part to full time during undergrad and grad school.

    Success = picking a degree with a good ROI in a field I liked, stayed in state at a public school, worked my ass off, networked, got jobs within my field during school, got involved in on-campus groups related to my field.

  • Comm_reply
    tsroberson12 04/26/2012 7:13pm

    My degree is in Criminal Justice. There will always be crime but there will not always be job. I’m working my butt off to pay my loans. No, I don’t want my loans to be wiped clean but repayment options would help. I make 32K a year and I work 2 part time jobs. You must bring in 6 figures to pay off your debt in the amount of time. That is great and I am happy for you but not everyone has it like you.

  • only1ranger 04/18/2012 9:02pm

    Forgiveness is a terrible idea. People will never learn from their poor decisions. Putting a cap on interest rates or capping deferment penalties may help but the loan provider needs to get their investment back plus interest for taking the risk.

    I have some friends who missed loan payments and had to differ a number of times. They blame the loan provide and in each case it was my friend who made terrible decisions on how to spend their money. Buying new cars, spending hundreds going out partying every month, vacations, etc. Fools.

  • xpumasx 04/25/2012 10:37am

    Very proud of all the folks who were able to pay their loans back. Congrats. Some of us were taken advantage of and misled by the lenders and financial aid offices of our schools. Not many 19 year olds truly understand what they are getting themselves into when they take out student loans. I was told, “everyone does this” and “they have a cap of how much they can ask you to pay”. BS. I have over $140k in private and federal loans going into a profession that does not support that kind of education debt. The laws passed in 2005 that protected the private student loans in the same fashion as federal loans are unconstitutional. No other lender in the world gets such protections. Imagine if every credit card company could go after you the same way Sallie Mae can, wage garnishment, insurmountable collection fees, taking away professional licenses, etc. The blame is partly my own but I cannot and will not take all of it. I was misled and deceived by a corrupt industry and I demand change.

  • djjustice24 04/26/2012 6:29pm

    I worked 2 jobs during school and that was to pay for my own housing gas and food. the basic necessities of life. i didnt have money for cars or anything. i went to college to get educated and find a decent job. i started school in 2005 and when i was done in 2010 with 2 degrees i had 23 thousand in debt. im so sick of seeing people blame us students or say we dont deserve any forgiveness. we dont want the debt to disapear i support this bill because i know how hard it is trying to pay ur loans back and this bill would give me the oppurtunity to do that. we took the loans because college is supposed to help u get a good paying job. but somewhere in the mix all the good jobs are now in other countries. college graduates cant get work service men lost their homes while they were oversees and all Republicans can say is “well those college kids shouldnt have gone to school if they couldnt afford it and those army men shouldnt have bought houses before they got shipped out”

  • tsroberson12 04/26/2012 7:19pm

    I knew that I was going to pay back the amount I borrowed. When I made the biggest mistake in taking out private loans. By the time I graduated with my masters degree, the interest was more than the principal. I am truly blessed to have a job where my degree is actually used, however, I make NO money. I’ve never missed a payment, never been in deferment and nor have I ever or will ever put my loans in forbearance. But, I do not have money to pay my rent so I had to move back in with my parents. At first I felt horrible but I have great parents that do not charge me rent. I want to own my own home one day and this bill will allow that for me. Myself and other want to pay the loan off but we should pay what we borrowed. I borrowed 35k, no 50k.

  • tsroberson12 04/26/2012 7:23pm

    I knew that I was going to pay back the amount I borrowed. I made the biggest mistake in taking out private loans. By the time I graduated with my masters degree, the interest was nearly more than the principal. I am truly blessed to have a job where my degree is actually used, however, I make NO money. I’ve never missed a payment, never been in deferment and nor have I ever or will ever put my loans in forbearance. I was always told that student loan debt is “good debt”. That is such a lie. My credit is PERFECT but due to the amount I make and how much “good debt” I am in, I can not get my own home, own car or even a small loan. Getting a degree was to help me get a home and my own car. I do not have money to pay my rent so I had to move back in with my parents. At first I felt horrible but I have great parents that do not charge me rent. I want to own my own home one day and this bill will allow that for me.

  • randywandarusell 04/29/2012 12:57pm

    Please include students with JOINTLY CONSOLIDATED FFEL LOANS in this relief program! My husband and I are in this situation, and while we individually qualify for every program to assist with student loans currently available, because we jointly consolidated at the recommendation of our lender before it was decided it was a horrible idea, we do not qualify for anything! I would at the very least like the opportunity to refinance these loans at a lower interest rate so that we could actually make some progress on this mountain of debt!

  • evans69 05/01/2012 11:31am

    I feel that this will give a boost to the economy, I really do not want a handout, bailout as with the car companies, but the economic situation as brought it on, as many graduates are underemployed or unemployed, 50% of graduates are, there is a need to be a way to give the economy a boost and this is a way. 10% of the income going towards loans gives more income for graduates to invest into the economy helping the communities, businesses and all Americans. It is similar to the bailout of the auto industry; it helped the car companies to realign to be more competitive, how a graduate is loaded down with debt able to obtain a position with a company that looks at your credit for employment. There has to be a solution, and I feel this is a good one.

  • evans69 05/02/2012 12:46pm

    I think I am looking at this bill has as an economic booster, 10% of the income is towards the bill, I paying around 50% of my income towards my loans, so if I was only paying 10% as well as many others, there will be more economic activity, meaning increase in spending, such as houses, and in turn creates a better atmosphere for investment, lower risk, lower price in credit, I can even see the dollar increase in value, therefore making all American’s happy, not just a few. I think outside of the box, maybe it time for everybody seek ways of improving the economy outside of the box, is it a handout? Or is it an investment in our economy? That is the question here, I see it as an investment in our economy, making it better for all Americans, as the economy grows all social classes will benefit.

  • briannak 11/14/2012 11:08am

    After reading many of the comments about the Student Loan Forgiveness Act, I would like to add a few things. Like so many of you, I am a student burdened by over $130k in student loan debt. Although I was awarded scholarships every year, I needed to borrow money. My middle-class parents were unable to support college costs, but they stressed the importance of a college education. I do not blame my parents at all – they were doing what our society told them to do. That a higher education leads to overall success in life. I also want to stress that I take responsibility for my loans. Since my repayments exceed my full-time income by $300/mo, I would like to see things change. I would like to have the lenders change their own out-dated conditions and access repayments based on income. The reason that they don’t is simple – they believe that they would make less money. …


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