Deficit Commission Targets Student Loans

Paying for College
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<p>The co-chairmen of the Deficit Commission appointed by President Obama, Erskine Bowles and Alan Simpson, have recommended that in-school interest subsidies for student loans be eliminated. This is listed on page 38 of the draft of their proposals. There does not seem to be much mention of this in the media.</p>

<p>Draft Document - <a href="http://www.fiscalcommission.gov/sites/fiscalcommission.gov/files/documents/CoChair_Draft.pdf%5B/url%5D"&gt;http://www.fiscalcommission.gov/sites/fiscalcommission.gov/files/documents/CoChair_Draft.pdf&lt;/a> </p>

<p>Deficit Commission's Webpage - National</a> Commission on Fiscal Responsibility and Reform</p>

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<p>One of the FA officers that posts here had mentioned something about subsidized loans possibly going away in the future.</p>

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<p>I think they should have something that rewards graduation. One thing this country knows is that when you subsidize something, you get more of it. So, if the feds got rid of subsidized loans, but agreed to pay for the interest that accumulated during college if the student graduated, I don’t think that would be a bad thing.</p>

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<p>^ Interesting idea. You’d really have to think through the details. Would the student have to continue with unbroken years of schooling?</p>