wHen Faith, a 33-year-old in Burlington, North Carolina, went back to earn his master’s degree in higher education administration in 2020-21, which she hopes will speed up her career and even help her climb the housing ladder.
Now, Faith has a federal student loan debt of $38,113, and the repayment schedule is much larger than she realizes, so she feels the plan has stalled her progress.
“I don’t know that this will damage my future,” she said. “You really don’t know everything you’re entering into. [when taking out student loan debt] …My master has made progress in his career specifically for progress, but what I do now is with what I owe on my degree, which makes little sense. ”
“I always regret this decision,” she added.
Trump administration’s motion makes faith worse Recovering interest on paid loans As of August 1, there are valuable education program (save) programs for borrowers. Under the Biden administration, about 8 million people participated in the rescue plan – a Income-driven repayment plan in 2023 For student debt – Many loans have been tolerant since last year.
Under Donald Trump, the Department of Education effectively killed the rescue program, suggesting people use another repayment program for their federal student loans instead. Borrowers still have the option to give up payments, but will see interest on their loans and will not make any progress in student loan forgiveness.
Faith says: “To me it looks like you are pulling me deep into debt, so I feel like I have no choice but to keep changing from the save plan and start paying.”
Faith is one of those who get in touch with the guardians and share how they will be affected by changes in the rescue plan. Her new repayment plan means she has to have an extra $300 a month, except for the rent of $1,200 (before the bill and living expenses), which is a financial challenge that feels “very overwhelming” and has everything else on hold.
“Luckily, I don’t have any family members…but everyone around me who are in my 30s feels like we’re all going backwards,” Faith says. “I’m afraid of what the future will look like, especially as I get older. Does that mean, unlike our grandparents who pay off, who don’t have debt, are we just debt-related?”
Public school teacher Jennifer, a 34-year-old Portland, Oregon, is also leaving the program for $63,419, but her monthly payments have nearly doubled in her new repayment plan, increasing to about $250 to $480.
“I don’t understand why it’s so high,” she said. But she had to leave a preservation plan to make loan forgiveness for public school teachers progress.
Jennifer hopes to have a baby in the next few years, but says she is “fearing my family plan” under such tough financial pressure. In addition to teaching in public schools, she cared for and hosted weekly bar trivia nights to earn extra cash to make a living.
“this [Trump] The government claims to be a family, but is screwing up a lot of people, including those with families, including those who want to start a family. ” she said.
After announcing changes to the savings plan, Jennifer was forced to provide financial support to her parents to help pay off her car loan, a 34-year-old woman whose mother already has two children in trouble.
She said: “I’m really lucky to be in this position to ask for help.
Sedona, a 30-year-old attorney in Seattle, Washington, owns a $170,848 federal student loan that will remain in the rescue plan despite the loan interest resuming. She said she was “more afraid of defaulting” and currently signed a loan of $22,413 with her mother.
Although Sedona paid well as an associate attorney, she and her partner were still “paid on-site to pay” and were already paying attention to their financially. As a family, they have canceled most subscriptions and rarely go to movies or night trips, while Sedona has done sporadic gig work such as copy editing to supplement income.
“In my therapy class, we talked about a lot of anxiety and problems related to financial problems,” she said. “It’s like a heavy weight, it’s like always sitting there.”
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One day, Sedona and her partner wanted to adopt or raise a child, but they currently don’t see a future where it is financially responsible for doing so. “It feels like, when did I start living?” she said. “We are people who are suffering from a generation.”
In Aurora, Colorado, Chris, 46, also stayed in the rescue plan. He said he had about $50,000 in outstanding student loan debt, less than $65,000, which he accumulated while studying for a bachelor’s degree in hotel management. To prioritize other debts, he kept his federal student loans tolerant and paid interest.
“It’s not that I’m not going to pay off my student debt, I know it’s a loan, like any other loan to be paid back,” he said.
Feel like Chris Trump administration Want to “make those [student] Debt as long as possible”.
“My hope is that the midterm elections will bring government leaders who will pull this chaos out and that’s what my vote will go,” he said.
Health & Wellness Contributor
A wellness enthusiast and certified nutrition advisor, Meera covers everything from healthy living tips to medical breakthroughs. Her articles aim to inform and inspire readers to live better every day.
