bk1 wrote: brose wrote:
I hadn't heard of it but from this (--LinkRemoved--), it makes sense considering for 2012-2013 the interest rates are the same for subs and unsubs.
that doesn't necessarily mean that subsidized will go away... just that when you graduate the interest rates between sub and unsub will be the same.
No I know that. But if it was true that it was going away that might be a way of showing it.
In an effort to ensure adequate funding for Pell grants, the Obama administration has proposed, among other things, eliminating subsidized Stafford loans for graduate students. See Budget of the U. S. Government, Fiscal Year 2012, Terminations, Reductions, and Savings
, p. 174.
The administration justifies this cut by pointing out that borrowers who have completed graduate education have a higher median income--and therefore a greater ability to repay educational debt--than borrowers who have not received a graduate degree. As a result, the administration claims that subsidies for graduate students would be better spent on borrowers with a more limited future ability to pay.