Representative Carolyn B. Maloney, who sponsored the bill in the House, noted that until 2000, the federal government used to grant large loans to places hit by hurricanes and other disasters, and sometimes forgave repayment of them.
She complained that the episode was an invasion of her privacy, comparing the $470,000 mortgage Mr. Corzine gave her (and forgave without repayment ) to nothing more than a "box of chocolates," overlooking that most voters would consider themselves fortunate to live in a $470,000 box, even if it were made of chocolate.
Finally, the federal government offers several "income-driven" student loan repayment plans that limit the monthly payments to a certain amount of income in exchange for extending the loan repayment period and forgive any loan amount unpaid after that period.
It takes aim at DeVos' decision to freeze an Obama-era rule known as the "borrower defense to repayment," which helped forgive student loan debt for people whose for-profit colleges closed amid fraud accusations, leaving students without degrees and with piles of debt.
Therefore, if you are enrolled in this repayment plan, there would not be any remaining student loans to forgive at the end of the repayment period.
While schools and employers have undertaken initiatives to forgive in part or delay the repayment of debt, these programs need to be expanded.
These plans, which lower student loan payments according to your income, also promise to forgive any remaining balance once the repayment period is up.
The site also has a lot more information about how the program works — and additional information about a program that could forgive federal loan debts after 10 years of repayment for people working in public service jobs.
(If you had a standard 10-year repayment plan and made 10 years of standard repayments, you would have no remaining balance to forgive at the end of 10 years).
