September 20, 2019
By Megan Leonhardt, CNBC
It may seem like student loans and millennials are inextricably linked. But a new survey shows that education bills are not the leading source of debt among this generation.
Millennials (defined here as ages 23 to 38) have racked up an average of $27,900 in personal debt, excluding mortgages, according to Northwestern Mutual’s 2019 Planning & Progress Study. The findings are based on a survey conducted by The Harris Poll of over 2,000 U.S. adults.
The biggest source of debt? Credit card bills. And that’s a “troubling” trend, Chantel Bonneau, a financial advisor with Northwestern Mutual, tells CNBC Make It.
“One issue that a lot of millennials have is that they have not wanted to sacrifice their lifestyle, even though they have student loans or lower incomes,” Bonneau says. “That has left us in this spot where they’ve accumulated a significant amount of credit card debt.”
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September 16, 2019
By Andrew Kreighbaum, Inside Higher ED
In her first significant act as Education Secretary more than two years ago, Betsy DeVos said she planned to overhaul an Obama administration student loan rule designed to protect borrowers defrauded by their college.
Despite her efforts, the Obama borrower-defense regulations took effect last year. But on Friday DeVos capped off a two-year effort by issuing her own rule, which scales back loan forgiveness opportunities for student borrowers.
The new regulations significantly raise the bar for student borrowers seeking debt forgiveness based on claims they were defrauded by their colleges. They add a new three-year time limit for those borrowers to file claims, and each case will be considered individually, even if there is evidence of widespread misconduct at an institution.
Borrowers will also be asked to demonstrate they suffered financial harm from their college’s misconduct and that the college made deceptive statements with “knowledge of its false, misleading, or deceptive nature.”
The collapse of the Corinthian Colleges chain and subsequent flood of debt-relief claims prompted Education Department officials under the last administration to issue the 2016 borrower-defense rule.
Although the rule was a response to misconduct in the for-profit college sector, it applied to all Title IV institutions. And private nonprofit college groups had expressed concerns that their institutions could be on the hook for student claims even for unintentional mistakes in marketing materials. DeVos had made clear previously that she thought the regulations were too permissive, essentially offering borrowers the chance at “free money.”
“We believe this final rule corrects the wrongs of the 2016 rule through common sense and carefully crafted reforms that hold colleges and universities accountable and treat students and taxpayers fairly,” she said in a statement accompanying the rule.
Education Department officials said the new three-year time limit for claims aligns with record-retention requirements for colleges. They said the process will give institutions the opportunity to respond to claims and students the chance to elaborate on claims based on those responses.
The DeVos regulations will save the federal government about $11 billion over 10 years, the department estimates (the federal government shoulders the cost of loan discharge if it cannot recoup funds from the institutions themselves). Consumer advocates argue those savings are created by rigging the system against borrowers.
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September 4, 2019
By Elissa Nadworny, NPR
You argue in the book that the idea of going to college is pervasive in American life.
It is pervasive. That message is coming at families from every direction: that being a success in America depends upon the ability to get into college, to get an education and to graduate. But that itself depends on the ability to pay, which thrusts us right into the paradox of it all — which is that on the one hand, young adults and the parents who support them have this very clear goal about getting a college education. On the other hand, that is going to cost them dearly.
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And we know that in all things God works for the good of those who love him, who have been called according to his purpose. -Romans 8:28
I Tried To Take It Back…
So often I am tempted to get angry, sulk, and take revenge because of a wrong someone has done to me. I run from discomfort, but what if you and I were meant to endure hardships? Never in a thousand years would I have imagined saying the following in a conversation, “Debt repayment and budgeting is not about managing your money, it’s about managing your heart”.
WHAT? I wish I could take those words back, as my wife grinned from ear to ear in acknowledgment of what implications that truly had on our current way of life. But it was too late.
Previously, I’d fantasize about receiving checks in the mail that could completely wipe out my debt. Sadly, the check never came; and the truth that I was alone in my debt journey hit me like a ton of bricks.
Before going to college, I saved every penny I had. My relationship with money as a child was not a healthy one–as I didn’t grow up with much. I knew money was needed to purchase things, but I also felt that having too much of it was wrong.
My Thoughts On Money
I think that money is a tool, and it doesn’t have any more power over you than you allow it to have.
Money is NOT inherently evil. The LOVE of money is the root of all evil. -1 Timothy 6:10. Love can be defined as an intense feeling of deep affection.
The emotion of love can influence us to accomplish heroic feats such as this father saving his daughter from a shark attack.
This man literally gave a shark the One Punch Man knuckle sandwich lunch special for FREE-99 lol. That shark will think twice before going after anything else besides marine life.
Risking It All
Or this strong fondness of something can destroy your life’s work. Take Bernie Madoff and Jefferey Epstein for instance, both men have been disgraced due to their misuse of things they enjoyed out of context.
Taking things out of the context from which they were meant to be enjoyed is dangerous. For one man, having enough money was never enough; for the other, seeking inappropriate affection.
I would like to leave you with a line from a song from an artist called Bizzle and an update on my student loans below.
Partial Lyrics from song by Bizzle “God Over Money”
If that same resource was made free to you
It would literally destroy what cash means to you
So how you risk your life for a paper dollar?
When as long as you have life you can make a dollar?
Student Loan Update
Until next time everyone! Stay strong… fight on… and have no debt but love! Peace and Blessings.
August 19, 2019
By Megan Leonhardt, CNBC
When it comes to uncomfortable conversations, Americans would rather talk about pretty much anything else — politics, health issues, religion — than discuss their finances.
Yet the money topic Americans voted as most thorny is one that’s constantly in the news: student loans. Over a third of Americans say they see student loan debt as the biggest financial taboo, according to a Harris Poll of over 1,000 U.S. adults commissioned by TD Ameritrade.
A similar survey conducted by the MIT AgeLab and sponsored by TIAA found that 40% of respondents reported they never talk to their family about their student loans. In fact, over half said their families know “nothing” or “very little” about their debt.
Yet you’re far from unique if you’re swimming in student loan debt. Americans have amassed $1.5 trillion in student loan debt, with one in four Americans carrying a balance. And both the prevalence and the effect of student loans is widely studied: the Fed found that 20% of the homeownership decline among millennials (ages 24 to 32) can be attributed to this debt. Other surveys have found that student loan debt is forcing millennials to put off other major life milestones, such as getting married and starting families.
Democratic 2020 presidential candidates are even making student loan debt solutions a core component of their campaigns — promising everything from better refinancing options to introducing more debt forgiveness programs to wiping it out completely.
So why aren’t people talking about their student loans around the dinner table or with friends over drinks? It’s personal, experts say. “Student loan debt may be pervasive and a constant topic in the media and in the political arena, but it’s still debt,” Erin Lowry, author of Broke Millennial Takes On Investing, tells CNBC Make It. “People are fundamentally uncomfortable talking about debt because it’s easy to assume another person is going to pass judgement on your choices.”
And boy do they.
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Hello everyone and welcome back to No Debt But Love. I am humbled to have been nominated for the Liebster Award by Prashanti Alluri @ https://happinessinn.blog/. Thank you Prashanti for nominating No Debt But Love! ❤️ Please visit her blog, you will find it beneficial. Prashanti aims to encourage others in their quest to happiness, wellness, and peace.
1. Thank the Blogger who nominated you.
2. Share 11 facts about yourself.
3. Answer the questions the blogger asked you.
4. Nominate 11 lucky bloggers and make them happy.
5. Ask your nominees 11 further questions.
6. Notify your 11 nominees.
11 Facts About Myself:
1. Surprisingly, I am an introvert.
2. I enjoy jogging and basketball.
3. I see myself retiring outside the country of my birth-the U.S.
4. I enjoy cheeseburgers… A LOT.
5. I am 1 of 8 children.
6. I am originally from Texas… yeehaw!
7. I work in education.
8. I studied business and communication in college.
9. I knew early on-11 years-old, I wanted to get married and start a family.
10. I am married with 2 kids.
11. My generational classification is Millennial.
1. Are there any writers in your family?
My little sister writes poetry.
2. What inspired you towards blogging?
I want people to be encouraged to not give up ever. Regardless of their circumstances.
3. What is your favorite color?
My favorite color is red.
4. Whats your future ambition?
My future ambition is to pay off my student loan debt and leave wealth for my children, grandchildren, and great grandchildren.
5.What are your hobbies ?
I enjoy blogging, jogging, and playing/watching basketball.
6. What’s your favorite subject in school?
I overall enjoy the pursuit of knowledge. I really can’t choose just one, I did enjoy my finance, human resources, and rhetorical criticism coursework.
7. Do you like poetry, then who is that you like?
I don’t necessarily read poetry, I do enjoy reading current events.
8.How do relax when your anxious?
I pray and go running.
9. What’s your best childhood memory?
My best childhood memory was my father coming home with coconut flavored candy. It was Coconut Long Boys lol.
10.Who is the most inspiring person in your life?
Unapologetically, Jesus Christ.
11.Describe about your blog in few words?
My blog aims to encourage those experiencing financial hardship due to student loans. This blog is a rallying cry to take courage, face the debt monster, and make it submit.
My 11 nominees for this award are:
JLV College Counseling
Dreamer, Random Thoughts
Deeply shreded, d_vyang_talks
Samyak Singh, Enigmatical
Ria, Just write For yourself
Jordan Rothman, Student Debt Diaries
James Burgess, Business Discussin Group
Madmargaret, Mad Margaret Diaries
Deeply shreded, d_vyang_talks
I like Prashanti’s Questions so I would like to reuse them…
Questions to Nominees:
- Are there any writers in your family?
- What inspired you towards blogging?
- What is your favorite color?
- Whats your future ambition?
- What are your hobbies ?
- What’s your favorite subject in school?
- Do you like poetry, then who is that you like?
- How do relax when your anxious?
- What’s your best childhood memory?
- Who is the most inspiring person in your life?
- Describe about your blog in few words?
Thank you for supporting No Debt But Love! Please visit the blogs of my Liebster Award nominees. Let them know that No Debt But Love sent you! 😃
August 5, 2019
By Zack Friedman, Forbes
An educator thought she was on track to receive student loan forgiveness.
She made the payments. She thought she did everything right.
Then, she was told years later that she didn’t qualify.
Here’s what you need to know – and how you can avoid her fate.
New Lawsuit: Student Loan Forgiveness
As first reported by NPR, Debbie Baker, a Director Education at a non-profit organization in Tulsa, Oklahoma, expected that her $76,000 of student loan debt would be forgiven through the Public Service Loan Forgiveness program, a federal program through the U.S. Department of Education that forgives federal student loans for individuals who work in public service.
According to Baker, her student loan servicer – the company responsible for collecting and managing her student loan payments – allegedly told her for nine years that she met all the requirements to receive public service loan forgiveness. As such, Baker thought she would have all her federal student loan forgiven after meeting the program’s requirements, which she believed she met. However, after making her usual monthly payments under an income-driven repayment program, the U.S. Department of Education said she did not qualify for student loan forgiveness. You can imagine Baker’s reaction.
Now, Baker is a plaintiff in a new lawsuit filed by the American Federation of Teachers, one of the nation’s largest teacher’s unions, against the U.S. Department of Education, which is led by Secretary Betsy DeVos. The lawsuit alleges, among other things, that:
- the Public Service Loan Forgiveness program is “grossly mismanaged” and
- the program, as it’s currently administered, violates the Due Process Clause of the Fifth Amendment to the U.S. Constitution
- the U.S. Department of Education is aware that student loan servicers make misrepresentations to borrowers, which results in borrowers getting rejected for student loan forgiveness and suffering financial and other harm.
Was Baker given the wrong information from her student loan servicer? Was it Baker’s responsibility to understand all the requirements of the program? Is the program administered properly? What is the proper role of student loan servicers – advisors or student loan payment collectors? Many of these issues may be addressed as a result of this lawsuit.
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