Connect with us

News

How the Student Loan ‘On-Ramp’ Period Ending Will Affect You

Published

on

How the Student Loan 'On-Ramp' Period Ending Will Affect You

The “on-ramp” repayment plan—a buffer given to student loan borrowers as post-pandemic payment pauses resumed last fall— will end on Monday, Sept. 30; and once again, borrowers will be subject to consequences for late or non-payment. The move comes as the Biden Administration’s broader student relief efforts remain ensnared in legal challenges.

The 12-month safety net protected student loan borrowers from being reported to credit bureaus, being placed in delinquency or default, or being referred to debt collection agencies if they missed or had a late payment—though interest still accrued on their loans. Some 43 million Americans have federal student loan debt totaling more than $1.5 trillion. 

“For millions of borrowers, this is going to be the first time they are experiencing the negative economic consequences of falling behind on student loans, ” says Aissa Canchola Bañez, policy director of the nonprofit Student Borrower Protection Center (SBPC). “I think that is a very important piece of context as we’re talking about the severity of this safety net protection expiring.”

Canchola Bañez works for one of more than a hundred advocacy, labor, and civil rights groups that signed a letter on Sept. 19 asking Department of Education Secretary Miguel Cardona to extend both the on-ramp period and the Fresh Start program, which helped borrowers who had defaulted on their federal student loans. Both initiatives are set to end on Sept. 30. 

Advertisement

Advocacy efforts, however, were unfruitful. “There are no plans to extend the on-ramp period. Borrowers should go to studentaid.gov to learn more about repayment options available to them,” a Department of Education spokesperson told TIME in a statement. 

Advocates argue that the end of the on-ramp plan program comes amid heightened instability for borrowers who have been impacted by lawsuits limiting facets of Biden’s student loan forgiveness efforts. “We have borrowers that are really struggling to afford their payment and are not able to access some of the most affordable repayment options,” says Canchola Bañez. “This is probably the worst time to consider allowing [a] safety net like this to expire, because our most vulnerable borrowers are not able to easily access an affordable repayment option right now.”

Aside from the Supreme Court’s strike down of the Administration’s broader program last June, which would have forgiven $400 billion in loans, recent litigation has also targeted parts of the Saving on a Valuable Education (SAVE) student loan repayment plan, which the Department of Education dubbed the “most affordable repayment plan ever.” The plan is currently blocked and borrowers have been put into interest-free forbearance. States behind the lawsuits argue that President Joe Biden needs Congressional approval in order to provide loan relief under SAVE.

Eight million borrowers currently enrolled in that program were set to receive automatic forgiveness on their loans after making 20-25 years of payments.

Advertisement

What should borrowers know?

Moving forward, borrowers should know they could face financial harm, including a decrease in their credit scores, if they do not make payments towards their student loans.  

Starting in October, consumers who have a payment that is 90 days late could see impacts on their credit reports in January, Liz Pagel, senior vice President of Consumer Lending at TransUnion, said in a statement to TIME. “Unlike other credit products, student loans payments are not marked delinquent until they reach 90 days past due. Those delinquencies will impact credit scores.”

Borrowers who miss payments for 270 days could see their loans go into default, which could cause the garnishment of their personal social security, tax refund, and wages. 

Although the Department of Education cannot currently process any new applications for the SAVE plan due to pending lawsuits, Canchola Bañez says that borrowers can still apply for income-driven payment plans, including SAVE. SAVE paper applications are currently being accepted. (Online applications are indefinitely closed.)

Advertisement

Borrowers should also be cautious of the actions their loan servicer is taking. Most recently, Navient was ordered to pay $100 million to borrowers after being accused by the U.S. Consumer Financial Protection Bureau (CFPB) of misleading student loan borrowers and not properly processing payments.

 “If your servicer is giving you misinformation, if your servicer is giving you a runaround, submit a complaint to the CFPB submit a complaint to the student loan ombudsman, or the FSA ombudsman at this Department of Education, because these are the ways that we as advocates and policymakers keep track of harmful trends,” she says.  

Source link

Advertisement
Continue Reading
Advertisement
Click to comment

You must be logged in to post a comment Login

Leave a Reply

Business

Moldova warns of Russian campaign to derail its EU membership referendum

Published

on

This article is an on-site version of our Europe Express newsletter. Premium subscribers can sign up here to get the newsletter delivered every weekday and Saturday morning. Standard subscribers can upgrade to Premium here, or explore all FT newsletters

Good morning. Today, I report on rising concerns about Russian meddling in Moldova’s EU membership referendum, and reveal that the first EU-UK summit is being pencilled in for the first half of next year.

Have a great weekend.

Hybrid threats

Russia is attempting to derail Moldova’s EU membership bid through a hybrid pressure campaign targeting a referendum in three weeks on its accession ambitions, its pro-European government has warned.

Advertisement

Context: Moldova formally began EU accession talks in June. On October 20, the country will hold a referendum on whether to enshrine EU aspirations in the country’s constitution.

President Maia Sandu is leading the “yes” campaign, and a group of five Russia-affiliated opposition parties — including one run by fugitive pro-Kremlin oligarch Ilan Shor — are campaigning against; and calling for geopolitical alignment with Moscow instead.

That “no” campaign is benefiting from some €100mn that Moldova’s security services say is being funnelled into the country by Russia to support pro-Russian political groups and influence campaigns, and widespread disinformation on social media.

“Russia’s hybrid attacks aren’t a new chapter for Moldova; what’s unprecedented is their intensity, marked by a diverse arsenal of tactics and a massive influx of dirty money,” said Stanislav Secrieru, Moldova’s national security adviser.

Advertisement

Russia is “proliferating clone parties and candidates across the political spectrum, from pro-Russian to self-styled independents and fake pro-European actors, all designed to keep Moldova stuck in a grey zone”, Secrieru said. “With their ‘not now’ messaging, they know that Moldova’s window of opportunity won’t remain open forever, and their ultimate goal is to derail our EU accession.”

The US, UK and Canada in June warned that Moscow was trying to meddle in Moldovan politics and warned Russia would seek to incite mass protests if its campaign fails.

“These Russian proxies are already laying the groundwork to claim elections are fraudulent. Their objective is clear: sow doubt about the legitimacy of the electoral process to create chaos,” said Secrieru.

But Moldovan officials say there is one silver lining: Moscow’s increased intensity related to the referendum has come with a fall in Russian activity opposing Sandu’s re-election campaign. Citizens will vote in the presidential election on the same day as the referendum, and officials link Russia’s falling interest in that vote to Sandu’s now strong polling lead.

Advertisement

“Our conclusion is that they have realised there’s not a lot of point trying to campaign against her,” said a senior Moldovan official. “So that’s one positive.”

Chart du jour: Space battle

Graphic explaining how radio interference can affect satellites

Elon Musk’s SpaceX is pushing to loosen power limits on transmissions in low Earth orbit, but some fear that any changes could interfere with already existing satellite networks.

Friends reunited

EU and UK officials are discussing holding their first joint summit since Britain left the bloc in the first half of next year, according to people briefed on the preparations, in a move to solidify the “reset” of relations between Brussels and London.

Context: The UK left the EU in 2020. Britain’s Labour Prime Minister Sir Keir Starmer has pledged to build better post-Brexit relations than his Conservative predecessors. The EU regularly holds summits with third countries such as India or China; or groups of countries, such as with the Gulf Cooperation Council next month.

The planned UK summit would take place during Poland’s rotating presidency of the EU, but would be held in Brussels, two of the people said.

Advertisement

The talks come as Starmer prepares to visit Brussels next week for bilateral talks with European Commission president Ursula von der Leyen to “discuss the reset of EU-UK relations”.

Last month Starmer said he was “absolutely clear” about his desire to restore good relations with the EU eight years after the UK voted to leave the union. “That does not mean reversing Brexit or re-entering the single market or the customs union,” he added.

What to watch today

  1. German Chancellor Olaf Scholz hosts Italian President Sergio Mattarella in Berlin.

  2. Pope Francis meets Belgian King Philippe and Prime Minister Alexander De Croo in Brussels.

Now read these

Recommended newsletters for you

Trade Secrets — A must-read on the changing face of international trade and globalisation. Sign up here

Swamp Notes — Expert insight on the intersection of money and power in US politics. Sign up here

Advertisement

Are you enjoying Europe Express? Sign up here to have it delivered straight to your inbox every workday at 7am CET and on Saturdays at noon CET. Do tell us what you think, we love to hear from you: europe.express@ft.com. Keep up with the latest European stories @FT Europe

Source link

Advertisement
Continue Reading

News

Man Sentenced to Life Despite Not Guilty Verdict, Granted Hearing

Published

on

Terence Richardson, who was sentenced to life in prison in 2001 despite being found not guilty of murder, has been granted a hearing to present new evidence in the case, according to a February 2024 report by The Appeal. In 1998, Richardson and Ferrone Claiborne were arrested as suspects in the murder of police officer Allen Gibson, who was shot and killed with his own weapon behind an apartment complex in Waverly, Virginia.

Richardson and Claiborne both pled guilty to avoid harsher sentences, but federal prosecutors later brought heavier charges. Although a jury found them not guilty, Judge Robert E. Payne sentenced the pair to life in prison using “acquitted conduct sentencing.” This practice means that “a jury’s acquittal does not prevent a judge from using the conduct the defendant was acquitted of against them when sentencing them for another charge.”

Neighbor Evette Newby claimed she saw Richardson and Claiborne go into the woods behind the apartments, making them prime suspects in the murder, despite a lack of DNA evidence linking either of them to the crime. However, police had other evidence that pointed to a third suspect, Leonard Newby, Evette’s brother.

Advertisement

Another witness claimed they saw Richardson, Claiborne, and Gibson at the scene and provided a description to the police. Yet, neither Richardson nor Claiborne fits that description. The witness even picked Leonard Newby’s photo in the lineup, but none of this evidence or information regarding other suspects was disclosed to either defendant’s lawyers. 

Based on the new evidence, Richardson’s attorney “filed a petition for a writ of actual innocence with the Virginia Court of Appeals in 2021, seeking to vacate Richardson’s conviction.” Claiborne’s options are more limited. Because he pled guilty to a misdemeanor and not a felony, he cannot file a writ of innocence. But if Richardson’s petition is successful, Claiborne might be able to seek “other types of appeals or clemency petitions.”

This is not the only case where someone has been wrongfully convicted, and not the first time evidence has been hidden, this is just one case out of thousands. This is a recurring problem in the US justice system. According to the Innocence Project, there have been over 375 DNA exonerations as of January 2020, but more than 3,300 cases are pending in the National Registry of Exonerations database. The Innocence Project states, “…examining more than 375 DNA exonerations, although it may seem unimaginable, innocent people confess to crimes they did not commit for various reasons.”

Richardson told The Appeal his defense attorney “said if you go to trial and you mess around and you lose, you could get the death penalty.” 

Advertisement

As of February 2024, Terence Richardson and Ferrone Claiborne’s story has no national coverage.

Sources:

Meg O’Connor, “New Hearing For Man Sentenced to Life in Prison Despite Not Guilty Verdict,” The Appeal, February 2, 2024.

Meg O’Connor, “A Jury Found Them Not Guilty Of Killing A Cop. A Judge Sentenced Them To Life Anyway,” The Appeal, November 21, 2023.

Advertisement

Student Researcher: R’riana Crawford-King (City College of San Francisco)

Faculty Evaluator: Jennifer Levinson (City College of San Francisco)

Source link

Advertisement
Continue Reading

Travel

Dream holiday hotspot loved by Brits TRIPLES entry charge to tourists from next month

Published

on

null

HOLIDAYMAKERS have been warned of a looming tourist tax that will see the existing levy raised by 65 percent with the hope of deterring visitors.

The New Zealand government announced in a statement on Tuesday that it has plans to hike up international visitor and conservation fees to force visitors to “contribute to public services”.

null

1

nullCredit: Getty

Frequent flyers will need to remember to set aside their savings to ensure they’re not left short for the nation’s entry fee.

Advertisement

Currently, those landing into one of the five international airports across the Māori and English speaking islands contribute NZ$35 towards the “high-quality experiences while visiting”.

However, the government’s announcement confirms that prices will see a 65 percent elevation.

From October 1, tourists will face a NZ$100 tourism fee.

Those boarding from Australia and most Pacific nations will not have to pay the levy which is equivalent to just under £50.

Advertisement

Despite hiking up the cost of the fee, the Tourism Industry Association has confidence that the number of those heading to traverse, bungee or enjoy the incredible scenery on offer will remain consistent.

However, the association’s chief executive, Rebecca Ingram, said: “New Zealand’s tourism recovery [from the Covid-19 pandemic] is falling behind the rest of the world, and this will further dent our global competitiveness.”

The government has backed the decision by suggesting the fee was competitive and would not put tourists off the destination.

Tourism minister, Matt Doocey, explained that the levy was necessary to ensure “international visitors contribute to high-value conservation areas and projects, such as supporting biodiversity in national parks.”

Advertisement

Last year, more than 3.2 million tourists headed to the nation known for offering thrill-seekers ample dare-devil experiences alongside wineries, Hobbiton set tours, active volcanoes and even the Fergburger – if you know, you know.

Protesters block beach in Spanish hols hotspot spelling out message for tourists in sand in latest anti-tourism row

However, data from Stats NZ last week revealed that visitor numbers are only around 80% of the level before the border closed for the pandemic.

NZ Airports chief executive, Billie Moore, said: “It is a triple-whammy for our sector, which is trying to work hard for New Zealand’s economic recovery.”

What is tourism tax?

Advertisement
  • A ‘tourist tax’ – also known as a ‘transient visitor levy’ – is a fee applied to short-stay accommodation.
  • They are often imposed in cities with strong tourist economies, in countries such as Canada, Spain, Germany, Belgium and France.
  • A tourist tax normally takes the form of a charge per occupied bed or room per night, within short-term accommodation providers.
  • The charge can be set at a flat rate or a series of flat rates (for example, €2 per bed per night), or it can be set as a percentage of the price of the bed or room.
  • Tourist taxes are sometimes set at different rates for different times of the year.
  • Some cities exempt, or give discounts for beds occupied by children or those travelling for medical reasons.
  • Others impose different rates on campsites, bed and breakfasts, non-serviced accommodation, or hotels with different star ratings.

Source: The House of Commons Library

Source link

Continue Reading

Business

Shigeru Ishiba to be next Japanese premier after winning LDP leadership

Published

on

Unlock the Editor’s Digest for free

Shigeru Ishiba will become the next prime minister of Japan after winning the presidency of the ruling Liberal Democratic party in a closely contested run-off vote on Friday.

As president of the LDP the 67-year-old former defence and agriculture minister will succeed Fumio Kishida after a parliamentary vote on October 1.

Advertisement

Ishiba’s campaign proposals included the creation of an “Asian Nato” to counter the rise of China.

His victory came at the expense of Sanae Takaichi, a hardline conservative, whom he beat in a second-round run-off on Friday. LDP MPs and party representatives from Japan’s 47 prefectures voted.

Takaichi received 194 votes to Ishiba’s 215, narrowly missing the chance to become Japan’s first female prime minister.

This is a developing story

Advertisement

Source link

Continue Reading

Money

Supermarket own-brand baked beans named better than Heinz and Branston – it’s not Tesco or Lidl

Published

on

Supermarket own-brand baked beans named better than Heinz and Branston – it’s not Tesco or Lidl

A SUPERMARKET’s own-label baked beans have beaten family-favourite brands including Heinz and Branston in a taste test.

The favourite cupboard staple was ranked top by a team of 66 testers, put together by consumer experts Which?.

Which? tasted a range of different baked beans

1

Which? tasted a range of different baked beans

The panel ranked 10 variations of baked beans from top supermarkets including Aldi, Asda, Co-op, Morrisons, Tesco, Sainsbury’s, as well brands Branston and Heinz.

Advertisement

Each was given a score out of 100 based on 50% flavour, 20% appearance, 20% aroma and 10% texture.

In the final scores, there was less than 10% between the winner and lowest scorer.

However, the top spot was taken by Aldi Bramwell’s Baked Beans, with an overall score of 76%.

The panel thought the beans looked good, had an appealing aroma, and three-quarters said the strength of flavour was perfect.

Advertisement

Just behind with a score of 75% was Branstons Baked Beans.

The panel said these beans looked appetising and the strength of flavour satisfied seven 70% tasters. The level of sweetness was enjoyed by a similar number of tasters.

In third and fourth spots were the Co-Op’s Baked Beans and Asda’s Baked Beans, with scores of 74% and 73%, respectively.

Heinz Beanz was voted into fifth place with an overall score of 72%.

Advertisement

The panel thought the big brand beans looked good and had a pleasing texture, but the aroma was less well liked than others, and just over a third (35%) thought the sauce was too thin. 

What are Aldi Specialbuys?

If you get through two tins per week, switching from Heinz beans to Aldi’s offering could save you over £100 per year, as a year’s supply of Aldi baked beans comes in at £42.64 versus £145.60 for Heinz – a £103 saving.

The overall scores were close, but there were bigger variations on individual parts of the scoring.

For example, M&S Baked Beans had a score of 67%, but less than half (45%) were satisfied with the strength of flavour, while a third wanted them to be sweeter. 

Advertisement

Aldi and Branston have now both earned Which?’s Best Buy  endorsement and Aldi also has the Great Value backing too.

Lidl‘s own-label items are usually included on taste tests, but the supermarket told Which? there is variation in the product recipe due to dual supply, so it wasn’t tested this time.

Natalie Hitchins, Which? head of home products and services, said: “Baked beans are a staple for many households and our results show you don’t have to pay a premium for the best taste.

“Choosing supermarket own-label groceries is not only a great way to save money, but our tests prove that you can end up with a better tasting product and can save over £100 a year by making the switch.”

Advertisement

The Sun team has recently taste tested tinned pasta and boxed wines.

How to save on your supermarket shop

THERE are plenty of ways to save on your grocery shop.

You can look out for yellow or red stickers on products, which show when they’ve been reduced.

Advertisement

If the food is fresh, you’ll have to eat it quickly or freeze it for another time.

Making a list should also save you money, as you’ll be less likely to make any rash purchases when you get to the supermarket.

Going own brand can be one easy way to save hundreds of pounds a year on your food bills too.

This means ditching “finest” or “luxury” products and instead going for “own” or value” type of lines.

Advertisement

Plenty of supermarkets run wonky veg and fruit schemes where you can get cheap prices if they’re misshapen or imperfect.

For example, Lidl runs its Waste Not scheme, offering boxes of 5kg of fruit and vegetables for just £1.50.

If you’re on a low income and a parent, you may be able to get up to £442 a year in Healthy Start vouchers to use at the supermarket too.

Plus, many councils offer supermarket vouchers as part of the Household Support Fund.

Advertisement

Source link

Continue Reading

News

▶ Media Distort the Truth: Israel Targets Hezbollah, Not Lebanon – What They’re Hiding

Published

on

▶️ Media Distorts the Truth: Israel Targets Hezbollah, Not Lebanon – What They're Hiding

Headlines scream “Israel bombing Lebanon,” but they miss that Israel is targeting Hezbollah. Since Oct 8, Hezbollah has fired nearly 9K rockets, killing 46 Israelis and displacing over 70K people.

This isn’t escalation—it’s defense. The media needs to report the full picture. pic.twitter.com/mFiZuEWDiK

— HonestReporting (@HonestReporting) September 24, 2024

The headlines scream about “Israel bombing Lebanon,” but what they miss is that Israel is targeting Hezbollah, a terror group backed by the Islamic Republic of Iran. Since October 8, Hezbollah has fired nearly 9,000 rockets, killing 46 Israelis and displacing over 70,000 people.

Advertisement

This isn’t escalation—it’s defense. The media needs to start reporting the full picture.

Source link

Advertisement
Continue Reading

Trending

Copyright © 2024 WordupNews.com