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Obama to forgive the student debt of permanently disabled people

Stashed in: Obama!, Personal Finance, Student Loans

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The G isn't just forgiving debt... they are doing it proactively.

It's a part of Obama's Student Loan Bill of Rights and it affects a lot of people:

Obama administration plans to forgive $7.7 billion in federal student loans held by nearly 400,000 permanently disabled Americans.

By law, anyone with a severe disability is eligible to have the government discharge their federal student loans. The administration took steps four years ago to make the process easier by letting people who are totally and permanently disabled use their Social Security designation to apply for a discharge, but few took advantage. The Department of Education is now taking it upon itself to identify eligible borrowers and guide them through the steps to discharge their loans.

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