Petition the White House to forgive Physicians Student Loans

[bjmo]

https://petitions.whitehouse.gov/petition/forgive-physician-student-loan-debt/56X3mNH3#thank-you=p

Need 100,000 votes. This forgiveness occurs after 10 years of complete, on-time payments.

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[TooMuchResearch]

And why would/should the gov't make this happen? Don't want the debt? Don't take the loans. Find a cheaper school or do something else with your life. Now, petitioning the gov't to get itself completely out of the student loan business? That is something I will sign.

 

[deleted480308]

And why would/should the gov't make this happen? Don't want the debt? Don't take the loans. Find a cheaper school or do something else with your life. Now, petitioning the gov't to get itself completely out of the student loan business? That is something I will sign.

Amen

 

[TheTao]

...

 

[TheTao]

GREAT idea especially for those without parents to write checks for med school tuition.

 

[StIGMA]

Wow, I'm frankly surprised you found over 1000 people (children) to sign that. I'd prefer if my colleagues were adults that kept their word. If you sign a contract, you complete it. What's the matter with you?

 

[PrideNeverDie]

only if they go into primary care

 

[NickNaylor]

Wow, I'm frankly surprised you found over 1000 people (children) to sign that. I'd prefer if my colleagues were adults that kept their word. If you sign a contract, you complete it. What's the matter with you?

But I have a lot of debt and I'm helping people... why don't you feel bad for me?

 

[deleted480308]

But I have a lot of debt and I'm helping people... why don't you feel bad for me?

Hahahahaha

 

[notbobtrustme]

Reform student loans, not forgive debt. Charging 6.8%/7.9% when the government is borrowing at 1% is criminal.

 

[JShephard]

Reform student loans, not forgive debt. Charging 6.8%/7.9% when the government is borrowing at 1% is criminal.

I think this is a common sense move. Student loan rates are very high compared to any other loan in America.

 

[Dharma]

um, correct if i'm wrong, but are there not already programs along these line? IBR loan forgiveness programs at institutions that qualify as public service? they're all over the place...

we need to get to the root of this issue: ridiculous interest rates and the educational racket that supports extraordinary borrowing through every increasing tuitions that don't match up with the service provided.

less government is what we need folks. let the feds be there to set regulations that prevent abuse of the system. although, tough to do when the government itself tends to be such an abuser.

i wonder how many pre-med/med students will give up the liberal tune for a more fiscally conservative approach when they see their hard earned money and right to make sound medical decisions go POOF into nothingness in the land of reality that awaits...

 

[JGimpel]

I'm still working on my petition to get rid of the COMLEX, but I'll read over your petition next.

 

[sazerac]

um, correct me if i'm wrong, but after 10 years of "standard payments" like the petition says, there won't be any student loan to forgive.

http://studentaid.ed.gov/repay-loans/understand/plans/standard

 

[yehhhboiii]

And why would/should the gov't make this happen? Don't want the debt? Don't take the loans. Find a cheaper school or do something else with your life. Now, petitioning the gov't to get itself completely out of the student loan business? That is something I will sign.

I don't see why interest rates for students are 6.8% and 7.9% unsubsidized when the federal funds rate is sitting at 0.25%.

 

[FunnyDocMan1234]

I don't see why interest rates for students are 6.8% and 7.9% unsubsidized when the federal funds rate is sitting at 0.25%.

Maybe because 50% of student loans never get paid back in full, and even though you can't declare bankruptcy, people don't give a crap and just stop paying... IBR is another carrot they threw to you.

 

[Dharma]

um, correct me if i'm wrong, but after 10 years of "standard payments" like the petition says, there won't be any student loan to forgive.

http://studentaid.ed.gov/repay-loans/understand/plans/standard

what the petition in OP's link saying is that after ten years of making payments, they'll forgive the loans, which is already exactly what they do with many IBR-based loan forgiveness programs. as long as you work for a qualified employer (of which many hospital systems are) then you're eligible. in fact, many start this in residency, so that by the time they finish, they already have 3+ years knocked out, and it was IBR based on their residency salaries, i.e. relatively low monthly payments.

what this petition mentions is not a new idea (except now it includes ALL of the unique snowflakes) and in the current environment on the Hill, I doubt it will pass. won't get my signature at least.

 

[yehhhboiii]

Maybe because 50% of student loans never get paid back in full, and even though you can't declare bankruptcy, people don't give a crap and just stop paying... IBR is another carrot they threw to you.

Where did you get that figure from? I'm seeing data that says about 16% of student loans are in default. But I'm still not seeing how undergraduate loans not getting repaid due to ridiculous sums and a terrible job market is relevant to medical school loans.

 

[TooMuchResearch]

I don't see why interest rates for students are 6.8% and 7.9% unsubsidized when the federal funds rate is sitting at 0.25%.

So then you want the gov't to stay in the student loan business, but you want lower interest rates on new loans? Okay, then start a petition for that.

 

[TooMuchResearch]

Where did you get that figure from? I'm seeing data that says about 16% of student loans are in default. But I'm still not seeing how undergraduate loans not getting repaid due to ridiculous sums and a terrible job market is relevant to medical school loans.

The default rate is projected to go way up.

And you're right. Undergrad and med school debt isn't the same. Undergrads are, and I'm generalizing, too young and immature to realize the disgusting pile of 6.8% debt they're acquiring. Med students, again with the generalization, wisened by their foolish undergraduate loan decisions, know the trouble for which they signed.

 

[FIREitUP]

Maybe because 50% of student loans never get paid back in full, and even though you can't declare bankruptcy, people don't give a crap and just stop paying... IBR is another carrot they threw to you.

what percent of US MD students cannot pay their loans back? maybe all loans should not be given out at equal rates, especially those that are very likely to be paid back (like ours).

 

[notbobtrustme]

Maybe because 50% of student loans never get paid back in full, and even though you can't declare bankruptcy, people don't give a crap and just stop paying... IBR is another carrot they threw to you.

Are student loans an investment for the government or one of the only means to an educated populace? It's not like student loans are supposed to be a huge driver in the US budget. If anything, student loans should be 0% interest because the government (theoretically) should recoup their entire investment through a better educated public. We aren't talking about a bunch of money managers going over a portfolio.

The government isn't a business and shouldn't be run like one. Default rates should be concerning not because of a loss of investment but because it signals a deeper, more fundamental problem with the way college education is going.

 

[link2swim06]

The government doesn't owe you jack.

 

[yehhhboiii]

So then you want the gov't to stay in the student loan business, but you want lower interest rates on new loans? Okay, then start a petition for that.

The federal government has little to do with the federal funds rate, despite the name. But that's not to say that I would mind having lower interest rates. For example, having student loans set at 3.4% interest. Perhaps they could be subsidized. That doesn't sound like it would be too much to ask for, considering that this is how it was done way back in the old days. Then again, it does make sense to ask people that are having trouble paying money to pay even more money.

 

[Dave89]

And why would/should the gov't make this happen? Don't want the debt? Don't take the loans. Find a cheaper school or do something else with your life. Now, petitioning the gov't to get itself completely out of the student loan business? That is something I will sign.

 

[sazerac]

what the petition in OP's link saying is that after ten years of making payments, they'll forgive the loans, which is already exactly what they do with many IBR-based loan forgiveness programs.

No, the petition quite clearly says after "10 years of standard, on time payments". The old IBR payments and the new PAYE payments are not standard payments. Standard payments are according to the standard payment plan, which is a 10 year loan. I've included the quote from the petition below.

"student loan debt should be forgiven if it is not paid off after ten years of standard, on time payments"

By definition, 10 years of standard, on time payments will pay off the loan, in full, with interest, and there will be nothing to forgive. This petition is pointless.

 

[Dharma]

No, the petition quite clearly says after "10 years of standard, on time payments". The old IBR payments and the new PAYE payments are not standard payments. Standard payments are according to the standard payment plan, which is a 10 year loan. I've included the quote from the petition below.

"student loan debt should be forgiven if it is not paid off after ten years of standard, on time payments"

By definition, 10 years of standard, on time payments will pay off the loan, in full, with interest, and there will be nothing to forgive. This petition is pointless.

Hmm... interesting that the petition uses "forgiven" in its explanation, here in the case that the borrower can not pay the loan off in full. "Standard" would indicate a payment plan that would result in complete payment. That said, I don't think the petition is worded properly then. Semantics...

Regardless, sounds like a $hit deal being that "standard" payments would require higher monthly payments as compared to the Public Service Loan Forgiveness Program, which sounds like a better way to go for some folks, e.g. primary care (and the best part is, it already exists, so no need for a petition). From another discussion:

As long as your program is at a not-for-profit hospital system, the years you are in residency can count towards loan forgiveness through the Public Service Loan Forgiveness program through the government. With that program, you sign up for either Income Based Repayment or the Pay As You Earn repayment plans (which tend to have payments between $0-$100 per month while in residency) - for the former, your monthly payment is just 10% of your discretionary income (which is all of your income above and beyond some fraction of the poverty line - either 100% or 150% I can't remember right now) - the idea is that that should always be relatively affordable for you. With Income Based Repayment, it's 15% of your discretionary income. With either payment plan, if you make 120 payments while working at a not-for-profit hospital or clinic including any local,state, or federal program, then everything else you owe is forgiven. For most people, this is a really amazing deal. The cool thing is that those 120 payment (10 years) don't have to be consecutive, so if you wanted to you could work 5 years at a non profit, take a year off, work 2 years doing concierge medicine if you want, then come back to work for a non-profit and still wind up with 120 payments and loans forgiven. It's a pretty great plan for people interested in primary care, particularly in underserved areas. The other cool thing is that 70-80% of residencies are at not-for-profit hospital systems (sorry Kaiser residents!) so the years you are in residency, earning (and thus paying) very little, count towards the final loan forgiveness goal. Learning about it certainly lowered my blood pressure a bit!