Presidential candidate Hillary Clinton will unveil a college affordability plan which will make college education more accessible to students, and will reduce the interest rates on student's existing loans.
In response to solve the financial tension for American families, on Monday, Mrs. Clinton will propose in New Hampshire a $350B program that will make the two-year tuition of community colleges free, will lessen the charges of four-year public colleges and will lower interest rates in student loans, reported on The Blaze.
The plan focuses on an incentive system, promoting states to spend more in higher education, and to lessen student expenses.
Those who are paying loans presently could refinance their dues at lower rates, which would correspond to just about $17 per month in a 10-year period. It would also permit student borrowers to sign up a plan that would limit their pay to 10 percent of their earnings.
According to U.S. News & World Report, students would be entitled to use their Pell Grants, the program started by Bill Clinton for low-income students to wrap up school expenses. Those who have completed AmeriCorps national service program could also study for free.
In addition, those states that pledge 'no-loan' tuition at four-year public universities and free education at community colleges will be given funds, along with private educational institutions with a high proportion of low-income students. This will increase the number of graduates and lower the school's expenditures.
However, in a report from CBS News, Carmel Martin, the executive vice president for policy at the Center for American Progress said, "It will depend on the student circumstances and the institution they are going to." In any case, students must still allot 10 hours of work each week. Their families still are supposed to make contributions as well.
Comprehensibly, tax deduction for affluent families will be restricted to 28% to adjust to Clinton's proposal.
Join the Conversation