Tag Archives: debt

The next steps in Washington’s very busy week are currently up in the air. Senate Republicans blocked an effort to raise the debt limit and also avert a government shutdown Monday night. Now the Democrats are likely going to have to move on those issue one at a time with an Oct. 1 deadline to avert a shutdown and Oct. 15 or soon thereafter to address the debt ceiling. “It’s never even conceivably thoughtful to think about defaulting,” Jared Bernstein, a member of President Biden’s Council… Source link

For more business and finance explainers, check out our Yahoo U page. For the federal government, “raise the roof” is anything but fun — it means things could spiral into disaster. It all concerns a legislative feature that has existed in American politics for over 100 years: the debt ceiling. As a mechanism to enforce prudence over government spending, Congress establishes a statutory limit on the amount of money that the federal government owes. When the government breaches that limit,… Source link

The full faith and credit of the U.S. government will be in jeopardy next month…ish. The looming debt ceiling means that – without an intervention by Congress – the government won’t be able to pay its bills soon. A default could be catastrophic for the U.S. economy. But what makes matters worse is that nobody is quite sure when the limit will actually be reached. It’s so hard to predict because technically the debt limit has already been passed. A limit of $28.5 trillion was reimposed… Source link

Stocks plunged on Monday, with major indices tumbling by over 1% at the opening bell, as investors nervously eyed the potential ripple effects of the default of a major Chinese real estate company, as well as ongoing debates over the debt limit in Washington.  After defying gravity for most of the summer, September is shaping up to be a tough month for markets, with major benchmarks in retreat for three consecutive weeks. At Wall Street’s opening bell, the Dow sank by more than 500 points,… Source link

Amid a major student loan debt crisis in the U.S., a new report by the Texas Public Policy Foundation found that some degrees cost tens of thousands of dollars more than others.  The report — which uses new data released by the Department of Education (ED)’s College Scorecard to examine typical college debt by credential and program — contributes to a burgeoning trend of transparency that’s aimed at scrutinizing the cost of tuition generally. The analysis “is really quite revolutionary… Source link

Thousands with student loan debt are owed refunds — see if you qualify The very first COVID-19 relief bill, signed into law in March of last year, barred student loan companies from garnishing the wages of borrowers in default. But thousands still had some of their pay seized in spite of the moratorium, because of the government’s slow uptake in those early days of the pandemic. Well over a year later, nearly 11,000 of those borrowers are still owed refunds, according to information obtained… Source link

Biden has canceled almost $10B in student loan debt. What about bigger relief? President Joe Biden has shown an appetite for helping out America’s student loan borrowers. The U.S. Department of Education just reported that it has approved $9.5 billion in student loan discharges since January — lightening the burdens of 563,000 borrowers who now have more ability to increase savings, invest money and deal with other debts. If you haven’t been paying attention, you might even qualify for some… Source link

The Education Department (ED) is discharging $1.1 billion for 115,000 defrauded former students of the for-profit ITT Technical Institute (ITT) after a new review of existing regulations. ITT Technical Institute filed for bankruptcy in 2016 and shut down all campuses, affecting 149 locations and roughly 40,000 students, amid lawsuits and investigations over alleged predatory lending practices. “For years, ITT hid its true financial state from borrowers while luring many of them into taking… Source link

After nearly two decades in public service, James Stewart, a science teacher from Maryland, is fighting an uphill battle to deal with $122,000 in student loans. “It can be overwhelming,” the Dorchester County Public Schools teacher told Yahoo Finance, explaining that he managed to avoid student debt for his undergraduate education and master’s degree but took on loans for his doctoral degree in educational leadership at the for-profit chain University of Phoenix.  When he applied for Source link

While some progressive Democrats continue to push the president to cancel student loan debt, there’s a bipartisan effort underway to overhaul the student loan system in another way: by making bankruptcy discharges more accessible for student debtors. Senate Majority Whip Dick Durbin (D-IL), who chairs the Senate Judiciary Committee, and Senator John Cornyn (R-TX) announced a new bill called the “FRESH START Through Bankruptcy Act of 2021” last week to better enable borrowers to seek a student… Source link