The What, Why, and How of New Student Loan Legislation

The What, Why, and How of New Student Loan Legislation November 2011 NEW LAW ON STUDENT LOANS Larger amounts Paying back your student loans is of money given to students through easier and, in most Pell Grants. cases, cheaper. PELL GRANT REPAYING STUDENT LOAN 6K $5,975 How much you have to pay $5,550 15% 10% 5K ---- ---- 2010 2012 2010 2017 How soon your debt is forgiven Pell Grants are given to 25 20 students by the federal government to help pay for school. Unlike a loan, Pell Grants don't have to be repaid. years years 2010 2012 2009-10 AVERAGE TUITION FEDERAL LOANS FEES Private Nonprofit 4-year $5,200 $4,900 $4,700 Public 4-Year O Public 2-Year $27,293 Low income Middle High income income $20,277 $15,615 $4,400 $2,500 $3,200 FEDERAL GRANTS 1990-91 2000-01 2010-11 Percentage of undegraduates receiving loans and the average amount received in 2007-2008 Percentage Amount Any aid Any grants Any student loan Work study Veterans benefits Parent PLUS loans Any financial aid Any grants Federal Federal Any loans Work study 100% 50% SK 10k LEARN MORE Visit the House of Visit the White Representatives' Committee on Education and Labor's website www.edworkforce.house.gov House's website www.whitehouse.gov and search for "Pay As You Earn" and search for “SAFRA" Source: Annual Survey of Colleges, the College Board, weighted by full-time undergraduate enrollment. Kiboo Cpyright © 2011 Kiboo LLC All Rights Reserved. www.kiboo.com