Obama acts to ease burden of student loans

Alister Bull
via Yahoo! News

WASHINGTON (Reuters) – President Barack Obama is taking steps to ease the burden of student loans, the White House said Tuesday, potentially helping millions of cash-strapped college graduates in a tough economy.

Obama plans to accelerate a plan to cap student loan payments at 10 percent of income, bringing it forward to start in 2012 from 2014.

“Steps like these won’t take the place of the bold action we need from Congress to boost our economy and create jobs, but they will make a difference,” he said in a statement.

The loans initiative will be the third such move by Obama in as many days, following action to aid homeowners and boost hiring of military veterans. The White House wants to show he is an activist president battling a “do-nothing” Congress.

The loan changes do not require approval by Congress…

…Student debt will also be forgiven after 20 years, compared with 25 years under current law…

The complete article is at Yahoo! News.

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