(ABC / Worthy News)– President Obama today moved to close a "loophole" in regulations aimed at easing the burden of repaying federal student loans.
Obama signed a presidential memorandum ordering the Education Department to extend monthly repayment "caps" to nearly 5 million student borrowers by December 2015.
Today, 71 percent of those earning a bachelor's degree graduate with debt, which averages $29,400, according to the White House. Total student debt in the U.S. topped $1 trillion last year.
The executive action today means some students with outstanding loans initiated before October 2007, and who meet income requirements, could be allowed to cap their payments at 10 percent of their income.
Fair Use Notice:This site contains copyrighted material the use of which has not always been specifically authorized by the copyright owner. We are making such material available in our efforts to advance understanding of environmental, political, human rights, economic, democracy, scientific, and social justice issues, etc. We believe this constitutes a 'fair use' of any such copyrighted material as provided for in section 107 of the US Copyright Law. In accordance with Title 17 U.S.C. Section 107, the material on this site is distributed without profit to those who have expressed a prior interest in receiving the included information for research and educational purposes. For more information go to: http://www.law.cornell.edu/uscode/17/107.shtml. If you wish to use copyrighted material from this site for purposes of your own that go beyond 'fair use', you must obtain permission from the copyright owner.