American Financial Benefits Center on Debt-Free College and Existing Repayment Options
EMERYVILLE, Calif., April 6, 2018 (Newswire.com) - Student loan borrowers struggling with their debt may daydream about a world without student loans. They wouldn’t be the only ones, either. Lawmakers have recently introduced a bill for debt-free college, which aims to cover all costs of college, not just tuition. While that would be a dream come true for future students, those who have already accumulated, or are currently accumulating, loans to pay for college would likely see no benefit. American Financial Benefits Center (AFBC), a document preparation company that helps its clients with income-driven repayment plan paperwork, encourages borrowers to focus on existing options for managing their federal student debt.
“Student loans can cause daily financial stress,” said Sara Molina, Manager at FEBC. “While debt-free college may set up future students for greater financial success, current borrowers may need help achieving the same.”
While debt-free college may set up future students for greater financial success, current borrowers may need help achieving the same.
Sara Molina, Manager at AFBC
Free college is not a new idea, but it is one that was popularized by Senator Bernie Sanders, D-Vt., in his 2016 Democratic primary run. Since then, he has helped New York enact a tuition-free system that benefits students in two-year or four-year public colleges. However, students often must still borrow for living expenses, books, and other supplies.
The Debt-Free College Act of 2018, on the other hand, would cover all the costs associated with college, including tuition and fees, supplies, and living expenses. Since tuition only represents about 45 percent of total college costs, Senator Schatz, D-Hawaii, who introduced the new bill, argues that tuition-free approaches do not do enough to help low-income students avoid debt.
Student loans remain a problem for millions of Americans today, and any effort to increase college affordability may not affect those who already have student debt. AFBC encourages student loan borrowers to consider existing repayment options if they cannot afford their debt payments. Federal income-driven repayment plans, for example, calculate payments on income and family size and provide forgiveness of any balance left over after 20 to 25 years in the program.
“At AFBC, we have helped our clients apply for federal income-driven repayment plans,” said Molina. “We also help them submit recertification paperwork each year they are in the program and wish to remain. Our clients demonstrate that it is possible to manage student loans with the current federal options.”
About American Financial Benefits Center
American Financial Benefits Center is a document preparation company that helps clients apply for federal student loan repayment plans that fit their personal financial and student loan situation. Through its strict customer service guidelines, the company strives for the highest levels of honesty and integrity.
AFBC is a member of the Association for Student Loan Relief (AFSLR), and each representative on the phone has received the Certified Student Loan Professional certification through the International Association of Professional Debt Arbitrators (IAPDA).
Contact
To learn more about American Financial Benefits Center, please contact:
American Financial Benefits Center
1900 Powell Street #600
Emeryville, CA 94608
1-800-488-1490
info@afbcenter.com
Source: American Financial Benefits Center