HOUSTON — A plan rolled out Monday by presidential candidate, Sen. Elizabeth Warren of Massachusetts, would wipe away student loan debt for 42 million Americans.
It’s gotten a lot of attention. But is it really doable?
University of Houston senior Brooke Tankersley told us she hopes so.
“I have maybe 40 to 50 thousand dollars in student loan debt,” said Tankersley.
The supply chain and logistics major said she hopes to work for HEB.
“The goal is to pay it off within two to three years,” said Tankersley. “But that depends on the type of job I get.”
Many may not realize that Sen. Warren got her undergraduate degree from UH. She even mentioned the school in a video explaining her student debt relief plan.
“Which cost 50 dollars a semester,” said Warren in the video.
Her plan would pay off more than a trillion dollars in debt using, primarily, new taxes on the ultra-rich.
“I think it’d be great, if it’s feasible,” said UH senior Katan Sinha. “But there’s a lot of politicians that promise a lot of things.”
KHOU political analyst Bob Stein said whether or not it breaks the budget remains to be seen.
“It’s a big, ambitious plan.” said Stein.
But he added that debt relief is an issue that impacts a large swath of the country, no matter political affiliation.
“Many people might be traditional and strong Donald Trump supporters,” said Stein. “And, so, unlike a lot of other issues that might be left of center for the Democratic party, this one speaks to a bigger problem.”
For now, students like Tankersley said they won’t be holding their breath.
“For now, personally, I’m focusing on taking care of myself and paying off these student loans,” said Tankersley. “And whatever happens, happens.”
Warren and a number of other Democratic presidential contenders will be in Houston for a forum later this week.
Meanwhile, here’s advice on alleviating student loan debt from Certified Financial Planner Blake Rusk of RBC Wealth Management in Houston:
Advice to pay down student debt
- Set up automatic payments on your online servicing portal:
- Treating your debt like any other bill will help keep you on your chosen payoff schedule
- You can often get a discount on your interest rate for setting up automatic payments
- Pay down your debt as quickly as possible:
- Paying off your loan faster means you will pay less in interest over the life of the loan
- Shedding your student loan debt more quickly will enable you to focus on other life goals like owning a home or fully funding your retirement
- If you have multiple loans you should focus on the loans with the highest interest rates first
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