What you should know about the government’s student loan reform package on March 17, 2018.1.
What is student loan debt?2.
What are the proposed new rules?3.
How is it calculated?4.
What does it mean to be a student loan borrower?5.
What’s the difference between debt repayment and deferment?6.
What happens to students who default on their student loans?7.
What about private loans?8.
What should I know about student loans after the reforms?1.
The Student Loan Debt Act was introduced by the Congress government in April 2019.
It was meant to reduce the incidence of debt, which is currently at a record high, by lowering interest rates and curbing borrowing.
But the government has made little progress, and the bill has been criticized by the World Bank and others.2.
The bill has a range of provisions, including:1.
It aims to help students repay their debts by reducing interest rates, curbing the use of credit cards and charging lower fees for student loans.2,3.
It requires colleges to set up loan repayment programs to help defray the cost of tuition and fees for students who are already in debt.4.
It allows students to defer payment of tuition fees on up to 20% of their earnings.5.
It would allow students to borrow up to Rs 5 lakh from banks to pay for a minimum of 50% of a student’s first-year costs.6.
It will provide a maximum of Rs 5 crore to colleges to fund their costs.7.
It has already raised the government money to build a new facility at Jawaharlal Nehru University.
The government is also planning to build another facility at a different university in the city.8.
It includes a new provision for loans of up to 10% of total earnings of a first-time graduate, to be available to students in the following circumstances:1,2.
It also provides for students to be allowed to defer repayment of tuition fee for up to five years.3.
The new rules would allow private lenders to lend up to 50% to private colleges to help with the cost, and would also enable them to offer higher-interest loans.4,5.
The draft law allows the government to grant an interest-free loan of up for Rs 1 lakh per month for a first time graduate.6,7.
The current rules allow up to a maximum Rs 1.5 lakh per student, but it is expected to allow up a maximum sum of Rs 2.5 crore for the first time grads.8,9.
The proposed reforms would not only lower interest rates but also make it easier to repay loans, as the government would allow borrowers to defer the interest rate, defer the repayment period and use money borrowed to pay down the debt.10.
The proposal also calls for a uniform scheme to manage the debt of all students.11.
It offers an extra provision for student borrowers who have been in a job for six months or more, so they can be included in the National Student Loan Guarantee Scheme.12.
The proposals also include a new scheme for the repayment of loans that are being paid on a variable basis, with the aim of increasing the loan balance in the country.13.
In addition, the proposed reforms are expected to include a scheme for students, who are not able to attend college, to have a loan taken out from the government, but the interest charged would be deducted from their income and deposited in their account.14.
It is likely to provide a loan to a parent who has not been able to provide financial support for a child.15.
The reforms also include an option for borrowers who owe more than the minimum loan amount to defer payments.16.
There is also an option to defer loan payments for a period of up in two years.17.
A new scheme will be created to provide loans for the purchase of non-conforming houses, including a new loan scheme for small investors.18.
The measures would also include setting up a fund to fund student loans of students.19.
The student loan scheme will allow a student to defer up to 90% of the first year’s tuition fees.20.
It provides a repayment period of three years.21.
It ensures that a student can have up to three months of loans.22.
It sets up a mechanism to manage student loans by reducing or eliminating fees.23.
The loans will not only be paid by the student but also by his/her parents and other relatives.24.
It encourages the loan to be paid as soon as possible, with no waiting period.25.
It gives the loan a maximum rate of interest.26.
The loan can be paid from the student’s own bank account.27.
The repayment period can be extended to two years if the student pays off his/ her loan within that time frame.28.