Press Releases

Washington, DC – Today, Rep. Gwen Moore (WI-04) stated her strong support for President Obama’s new proposal to ease the burden of student loan debt. Rep. Moore encouraged residents of her district to find out whether they might be eligible for the new program.

“Tuition costs have risen dramatically in the past few years, at the same time as more and more graduating students have struggled to find good jobs. The President’s new program would cap student loan payments at a more manageable level and allow people to consolidate their debt, making it easier for them to avoid default. This plan could bring relief to millions of individuals and families, especially in this time of economic hardship.”

The President’s new “Pay As You Earn” proposal would improve the current income-based repayment plan—which allows student borrowers to cap their monthly payments at 15% of their discretionary income—by reducing that limit to 10% of discretionary income. Borrowers would also be allowed to consolidate their federal loans and receive a reduction in their interest rate.

“I applaud President Obama on his plan to address the worsening student debt situation. This repayment program could keep hundreds of dollars in the pockets of struggling young people from Wisconsin. I urge my constituents who are eligible to apply.” 

Borrowers should visit www.studentaid.ed.gov/ibr to determine whether or not income-based repayment is right for them.