how are pre-existing student loans handled under the new Obama laws?

Hello and Good Afternoon Everyone,

          I am wondering how pre-existing student loans are handled under the new Obama laws.  The reason I ask is because I have heard that after a certain number of years of owing student loans, they are automatically forgiven under the new Obama laws.   I have also heard that the default status, if exist, must be removed first before being qualified for this benefit under the new Obama regulations.  At any rate, if someone could provide some insights into this matter, it will be greatly appreciated.  

            Thank you so much.

            George
GMartinAsked:
Who is Participating?
I wear a lot of hats...

"The solutions and answers provided on Experts Exchange have been extremely helpful to me over the last few years. I wear a lot of hats - Developer, Database Administrator, Help Desk, etc., so I know a lot of things but not a lot about one thing. Experts Exchange gives me answers from people who do know a lot about one thing, in a easy to use platform." -Todd S.

dhsindyRetired considering supplemental income.Commented:
There are no new Obama laws on student loans as far as I know. Perhaps your are referring to Senator Elizabeth Warren's bill on changing student loan rates which President Obama supported. The bill was blocked in the House of Representatives on June 12, 2014, I believe. These loans are NOT forgiven in bankruptcy cases. Note: Ms Warren is an expert in bankruptcy law and seems to be leading the fight to help students with outstanding loans.

This is bound to be one of top issues in up coming elections especially for young voters. The debt owed to or guaranteed by the US government recently exceeded $1 Trillion USD. So, government is reluctant to relieve these debts. Since, the debts are protected from bankruptcy, I personally feel the interest rates should be less more in the range of short term mortgages.

If you are young and have this debt you should be sure and register and cast a vote.
0

Experts Exchange Solution brought to you by

Your issues matter to us.

Facing a tech roadblock? Get the help and guidance you need from experienced professionals who care. Ask your question anytime, anywhere, with no hassle.

Start your 7-day free trial
GMartinAuthor Commented:
Hello

        Thank you for sharing your personal thoughts in response to my question.  After reviewing the information presented, I am inclined to agree with your points.  If I should hear about any new information regarding this subject, I will post it for anybody who may have pre-existing student loan concerns.

         George
0
It's more than this solution.Get answers and train to solve all your tech problems - anytime, anywhere.Try it for free Edge Out The Competitionfor your dream job with proven skills and certifications.Get started today Stand Outas the employee with proven skills.Start learning today for free Move Your Career Forwardwith certification training in the latest technologies.Start your trial today
Miscellaneous

From novice to tech pro — start learning today.

Question has a verified solution.

Are you are experiencing a similar issue? Get a personalized answer when you ask a related question.

Have a better answer? Share it in a comment.