Target: President Barack Obama
Goal: Support a decrease in student loan burdens
For the first time in history, student loan debt has surpassed credit card debt. Americans owe over a trillion dollars in student loans, and it’s keeping them from being able to buy houses, have families, and work in meaningful careers.
US Representative Karen Bass has proposed a plan called the Student Loan Fairness Act. Under this plan, student loan repayments would be capped at 10% of the borrower’s income for 10 years, and after that the debt would be forgiven. This is known as the 10/10 plan.
The plan would also cap federal interest loans at 3.4% (they are about to double to 6.8%), and allow borrowers whose debt is higher than their income to transform their loans into federal direct loans, which could then be treated as part of the plan. Borrowers who can’t make the payments can also extend their deferments.
The student loan crisis has destroyed the economy because debtors can’t afford to buy cars, let alone spend money on entertainment. Young people are unable to move out of their parents’ houses because they can’t make the loan repayments and also cover their rent. Important but low-paying careers, such as education, nonprofit work, and public interest law are losing promising workers because they can’t afford to take those jobs and pay their debts.
President Obama has already proposed several ways to lower student loan debt. Urge him to support the Student Loan Fairness Act as a reprieve for millions of debtors.
Dear President Obama,
We commend you for your plans to make student loan repayments easier. Millions of public service workers are delighted that their debt may be forgiven after 10 years, and capped at 10 percent of their income.
However, we support Representative Karen Bass’ even better plan. Bass’ proposes that all student debt be capped at 10% of the borrower’s income and forgiven after 10 years. She also proposes that the interest rate be capped at 3.4%, making the taxpayer burden lower when the debts are forgiven. She would allow people who can’t pay their debts to transform them into federal direct loans, which can then be treated as part of the 10/10 plan.
Young people are unable to pursue lower-paying service jobs, arts jobs, or entrepreneurial ventures because they need a high-paying job to cover their debt. Some borrowers owe so much money that they can’t imagine a time when they’ll be able to afford to buy a house or have a family. Please ease this burden on millions of Americans by supporting the Student Loan Fairness Act.
[Your Name Here]