“Know Before You Owe”

Obama intends to ease student-loan burdens:

“The administration’s new student loan plan, titled ‘Know Before You Owe,’ would allow college graduates to cap federal student loan repayments at 10 percent of discretionary income starting in January, two years before the cap was due to take effect under federal law. The accelerated ‘pay as you earn’ option, which Obama will authorize through executive authority, could benefit up to 1.6 million borrowers and reduce their payments by as much as a couple of hundred dollars a month….

All remaining debt on the federal loans would be forgiven after 20 years — five years earlier than under current law.”