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Interest rates have also been historically low, making repayment easier.
The new loan would increase the load, making repayment hard unless the economy is growing fast.
In focusing on making repayment terms on loans as generous as possible, the government has lost sight of other very important issues of social and financial sustainability.
The loans involved were federal consolidation loans, which allow students to combine loans from other sources into a single payment, making repayment simpler and ideally lowering students' overall interest burden.
But making repayment expectations too flexible rewards free riders, who when left unchecked can destroy lending programs.
They're often funded much quicker, with fewer required documents, and payback is based on your revenue rather than static payments, making repayment flexible.
Similar(53)
From her take-home pay of £1,200 per month, she found herself making repayments of £250.
If the job market is pitiless as ever, making repayments tough or impossible, you'll need to head into the local branch for a chat.
That will allow up to an estimated five million homeowners to trade their current mortgages for loans with lower rates, making repayments easier and possibly heading off future defaults.
The market study will look at all issues around unaffordable lending and whether consumers are borrowing too much on their cards and making repayments too slowly.
It means that the government does not have enough information to decide whether these students should be making repayments on their loans, and if so, how much.
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