NEW YORK (CBSNewYork/AP) — Sen. Charles Schumer was applauding Barack Obama on Sunday as the president was preparing to issue an executive order that will help Americans struggling to pay off their student debt.
Obama on Monday will announce he’s expanding his “Pay As You Earn” program that lets borrowers pay no more than 10 percent of their monthly income in loan payments, the White House said. Currently, the program is only available to those who started borrowing after October 2007 and kept borrowing after October 2011. Obama plans to start allowing those who borrowed earlier to participate, potentially extending the benefit to millions more borrowers.
The program is expected to shrink student loan debt for an additional 5 million Americans.