The 10 cities hit the hardest by student debt

“Having some student loan debt is not necessarily a terrible thing.” But in cities with weak wages and high debt totals, student loans can have a negative impact on the lives of workers and on local economies. SmartAsset weighed several local variables, including the average amount of student loan debt, median earnings for bachelor’s degree holders and the unemployment rate for bachelor’s degree holders. They found that while student loan debt is a national problem, specific cities are getting h


“Having some student loan debt is not necessarily a terrible thing.”
But in cities with weak wages and high debt totals, student loans can have a negative impact on the lives of workers and on local economies.
SmartAsset weighed several local variables, including the average amount of student loan debt, median earnings for bachelor’s degree holders and the unemployment rate for bachelor’s degree holders.
They found that while student loan debt is a national problem, specific cities are getting h
The 10 cities hit the hardest by student debt Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2019-11-10  Authors: abigail hess
Keywords: news, cnbc, companies, workers, smartasset, hit, hardest, loans, lives, student, local, debt, cities, degree, loan


The 10 cities hit the hardest by student debt

Student loans have the potential to change lives for the better.

Student loans can help people finance a college degree, which remains a key part of accessing high-paying jobs and preparing for the economy of tomorrow. Employment data shows earning a college degree from a reputable institution in a high-paying field continues to be one of the most concrete steps workers can take toward financial and professional stability.

Taking on student debt “can be an investment in your future, and it can be something that can help you to advance in your career,” AJ Smith, vice president of financial education at SmartAsset tells CNBC Make It. “Having some student loan debt is not necessarily a terrible thing.”

But in cities with weak wages and high debt totals, student loans can have a negative impact on the lives of workers and on local economies.

SmartAsset recently analyzed data collected by the U.S. Census Bureau, Experian and the IRS across 100 metro areas to determine which cities are the most negatively impacted by student debt. SmartAsset weighed several local variables, including the average amount of student loan debt, median earnings for bachelor’s degree holders and the unemployment rate for bachelor’s degree holders.

They found that while student loan debt is a national problem, specific cities are getting hit the hardest.

Here are the 10 cities most impacted by student debt, according to SmartAsset.


Company: cnbc, Activity: cnbc, Date: 2019-11-10  Authors: abigail hess
Keywords: news, cnbc, companies, workers, smartasset, hit, hardest, loans, lives, student, local, debt, cities, degree, loan


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Hong Kong braces for 24th weekend of protest after student’s death

Students in Guy Fawkes masks march before the congregation ceremony at the Chinese University of Hong Kong on November 7, 2019 in Hong Kong, China. Hong Kong protesters are planning a 24th straight weekend of pro-democracy rallies, including inside shopping malls across the Chinese-ruled city on Sunday, some of which have started peacefully in recent weeks and descended into violent chaos. Police granted permission for a gathering at Tamar park, one of the rare approvals for a protest in recent


Students in Guy Fawkes masks march before the congregation ceremony at the Chinese University of Hong Kong on November 7, 2019 in Hong Kong, China.
Hong Kong protesters are planning a 24th straight weekend of pro-democracy rallies, including inside shopping malls across the Chinese-ruled city on Sunday, some of which have started peacefully in recent weeks and descended into violent chaos.
Police granted permission for a gathering at Tamar park, one of the rare approvals for a protest in recent
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Company: cnbc, Activity: cnbc, Date: 2019-11-09
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Hong Kong braces for 24th weekend of protest after student's death

Students in Guy Fawkes masks march before the congregation ceremony at the Chinese University of Hong Kong on November 7, 2019 in Hong Kong, China.

Hong Kong protesters are planning a 24th straight weekend of pro-democracy rallies, including inside shopping malls across the Chinese-ruled city on Sunday, some of which have started peacefully in recent weeks and descended into violent chaos.

Protesters have also called for a general strike on Monday and for people to block public transport, calls that have come to nothing in the past.

The weekend starts with a rally on Saturday to mark the 30th anniversary of the fall of the Berlin Wall and a “support martyrs” assembly, both of which are likely to turn to protesters’ demands for universal suffrage for the former British colony.

Police granted permission for a gathering at Tamar park, one of the rare approvals for a protest in recent weeks.

Candlelight vigils mourning a student who died after a high fall during a rally in the early hours of Monday quickly spiraled into street fires and cat-and-mouse clashes between protesters and police on Friday.

Police fired one round of live ammunition to warn what they called “a large group of rioters armed with offensive weapons” who threw bricks at officers trying to clear street barricades in the Kowloon area on Friday night, the police said in a statement.

“The lives of the officers were under serious threat,” said the statement, which was released early on Saturday.

The death of the student at a hospital on Friday is likely to fuel anger with the police, who are under pressure over accusations of excessive force as the territory grapples with its worst political crisis in decades.

Chow Tsz-lok, 22, fell from the third to the second floor of a parking lot as protesters were being dispersed by police.

Students and young people have been at the forefront of the hundreds of thousands who have taken to the streets to seek greater democracy, among other demands, and rally against perceived Chinese meddling in the Asian financial hub.

Hong Kong returned to Chinese rule in 1997 under a “one country, two systems” formula, allowing it colonial freedoms not enjoyed on the mainland, including an independent judiciary and the right to protest.

China denies interfering in Hong Kong and has blamed Western countries for stirring up trouble.

Since June, protesters have thrown petrol bombs and vandalized banks, stores and metro stations. Police have fired rubber bullets, tear gas, water cannons and, in some cases, live ammunition.

Last weekend, anti-government protesters crowded a shopping mall in running clashes with police that saw a man slash people with a knife and bite off part of the ear of a politician.


Company: cnbc, Activity: cnbc, Date: 2019-11-09
Keywords: news, cnbc, companies, protesters, hong, chinese, shopping, weekend, street, 24th, rally, student, recent, braces, kong, death, protest, students


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Don’t miss these hidden benefits of open enrollment

Given record-low unemployment and competition to attract and keep top talent, more employers are upping the ante with voluntary benefits, according to William Ziebell, CEO of the benefits consulting division of Gallagher. Still, nearly three-quarters of working adults will spend 45 minutes or less reviewing their benefits before enrolling, according to recent research by employee benefits provider Unum. Overall outstanding student debt is a stunning $1.6 trillion. Unum is one of the growing numb


Given record-low unemployment and competition to attract and keep top talent, more employers are upping the ante with voluntary benefits, according to William Ziebell, CEO of the benefits consulting division of Gallagher.
Still, nearly three-quarters of working adults will spend 45 minutes or less reviewing their benefits before enrolling, according to recent research by employee benefits provider Unum.
Overall outstanding student debt is a stunning $1.6 trillion.
Unum is one of the growing numb
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Company: cnbc, Activity: cnbc, Date: 2019-11-09  Authors: jessica dickler, sharon epperson
Keywords: news, cnbc, companies, enrollment, loan, dont, benefits, insurance, health, employees, employee, miss, student, according, debt, pet, hidden, open


Don't miss these hidden benefits of open enrollment

Open enrollment season is underway for many workers.

And as employees pick their health plans for the year ahead, they may be missing out on some valuable new offerings.

Given record-low unemployment and competition to attract and keep top talent, more employers are upping the ante with voluntary benefits, according to William Ziebell, CEO of the benefits consulting division of Gallagher.

In addition to health care, there are a variety of other options that are often overlooked, such as student loan repayment, elder care, mental health assistance or pet insurance.

“Employers are looking for ways other than compensation to provide a benefit to their employees,” said David Reid, the CEO of Ease, a benefits administration company.

Still, nearly three-quarters of working adults will spend 45 minutes or less reviewing their benefits before enrolling, according to recent research by employee benefits provider Unum.

“There’s a broad landscape of benefits that are emerging,” said Rob Hecker, the vice president of global total rewards at Unum. Now, “there is a whole host of offerings to choose from.”

Here are a few of those options that could be particularly worthwhile:

Student loan assistance: Americans are more burdened by college loans than they are by credit card or auto debt. Overall outstanding student debt is a stunning $1.6 trillion.

Now, about 8% of companies, including Aetna, Fidelity and PwC, offer taxable contributions to help employees repay student loans, up from 4% three years ago, according to the Society for Human Resource Management’s 2019 Employee Benefits survey.

Unum is one of the growing number of businesses that have added student loan assistance to their benefits menu.

At Unum, U.S. employees can trade up to five days, or 40 hours, of unused vacation time for a payment against their student loan tab through the Student Debt Relief Program, which is managed by Fidelity.

That can go a long way for an employee struggling with student debt.

For example, if someone has a student loan balance of $26,500 on a 10-year repayment term with a 4% interest rate, a $100 a month contribution from his or her employer would free them from their debt three years earlier.

“If I were a young employee and I had that benefit, I’d be stoked,” said Reid.

Pet insurance: Nearly 70% of U.S. households own a pet, according to the American Pet Products Association, and, chances are that 1 in 3 of these pets will need emergency veterinary treatment within any given year.

The average cost of an unexpected visit to the veterinarian can range from $800 to $1,500, according to Petplan, a Philadelphia-based pet insurance company — an extra expense many Americans cannot afford.

For that reason, more employers could consider adding pet insurance to their benefits package.

“For many individuals, their pet is part of the family and if they need a surgery, having insurance can help you in that regard,” Ziebell said. In fact, “it’s one of the fastest-growing areas of coverage out there.”

As of last year, close to 2.16 million pets were insured in the U.S., an increase of 18% over the previous year, according to the North American Pet Health Insurance Association.


Company: cnbc, Activity: cnbc, Date: 2019-11-09  Authors: jessica dickler, sharon epperson
Keywords: news, cnbc, companies, enrollment, loan, dont, benefits, insurance, health, employees, employee, miss, student, according, debt, pet, hidden, open


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4 money moves you can make in your 20s to build strong credit by your 30s

Your credit score can fluctuate, though, and is more of a snapshot than summary of your credit report. Video by Ian Wolsten The length of your credit history makes up 15% of your overall credit score, so making good choices early on factors into your score. The average FICO credit score for people ages 20 to 29 is 662, which is considered “fair.” Here are four money moves you can make in your 20s to establish strong credit in your 30s. He recommends a secured credit card, which often has a credi


Your credit score can fluctuate, though, and is more of a snapshot than summary of your credit report.
Video by Ian Wolsten The length of your credit history makes up 15% of your overall credit score, so making good choices early on factors into your score.
The average FICO credit score for people ages 20 to 29 is 662, which is considered “fair.”
Here are four money moves you can make in your 20s to establish strong credit in your 30s.
He recommends a secured credit card, which often has a credi
4 money moves you can make in your 20s to build strong credit by your 30s Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2019-11-08  Authors: myelle lansat
Keywords: news, cnbc, companies, payment, 20s, student, history, rewards, 30s, score, build, debt, bills, moves, money, credit, card, strong, youre


4 money moves you can make in your 20s to build strong credit by your 30s

The earlier you start building credit, the better, according to experts. Your credit score is one of the most important numbers in your financial life. If you start building and improving your credit in your 20s, you’ll be in a better position to be approved for a mortgage, an auto loan, or a rewards credit card in the future, says Ted Rossman, a credit analyst at Bankrate. Having strong credit can help you in less expected ways, too: It can mean you pay less on a cellphone plan, for example, or less money in fees to set up utilities. As you make financial decisions, like big purchases and timely payments on your bills, you establish your credit history, which informs the three-digit number known as your credit score. Your credit score can fluctuate, though, and is more of a snapshot than summary of your credit report.

Video by Ian Wolsten The length of your credit history makes up 15% of your overall credit score, so making good choices early on factors into your score. “There’s really no substitute for time in this process [because] you can’t get that time back,” says Rossman. The average FICO credit score for people ages 20 to 29 is 662, which is considered “fair.” The average rises to 673 for people ages 30 to 39, and the average credit score for Americans overall is now 703, which is considered “good.”

Here are four money moves you can make in your 20s to establish strong credit in your 30s.

1. Find a good starter card

If you’re building your credit history from scratch, find a starter card with a low credit limit so you’re less at risk of going into debt, says Matt Schulz, a credit card industry analyst at CompareCards.com. He recommends a secured credit card, which often has a credit limit of $200 to $250 and requires a deposit equal to the credit limit to open the account. “It can be really hard to get credit if you don’t have credit,” says Schulz. “The good news is that credit cards are generally the easiest way to get started, in part because they’re the easiest to get. The trouble is that what is available for credit newbies often comes with sky-high APRs, lots of fees, and few rewards.” It’s important to choose a safe card early on and to get into the habit of paying your bills before looking for credit card rewards. For instance, if you have trouble paying off your bills on time, you won’t be able to reap credit card benefits because your interest rates will outweigh your rewards and you could end up in debt. Once you’ve established good habits, you can trade up to a rewards card that complements your spending habits.

2. Pay your bills on time and in full

Your credit score is generated using an algorithm that includes several factors, including your spending history and your ability to pay off debt. The largest portion, 35%, is your payment history. That’s why paying your bills on time and in full is “the whole ballgame” when it comes to building credit, says Schulz. Schulz says a negative item, like a late payment, can stay on your report for seven years. That means if you make a late payment at 25 years old, it will remain on your credit report until you’re 32. A single late payment can also drag down your credit score by as much as 100 points, adds Rossman. He says the best ways to prevent yourself from missing a payment is to check your statement every few days, set up autopay, and create calendar reminders for when your bills are due.

FICO breakdown Factors that impact your credit score Social chart title kiersten schmidt/grow FICO

3. Work on paying off student loan debt

Paying off any debt, like student loans, consistently over time will help you establish your credit history and boost your credit score, says Rossman. Student loans are a type of installment debt, or debt borrowed as a lump sum and paid down in regular installments. Installment debt can actually be good for your credit: When you make student loan payments on time each month, you’re establishing credit history while chipping away at your debt. “If you have student loan debt or any sort of loan obligation, make sure that you’re paying those on time,” says Rossman.

4. Use credit sparingly to maintain a low utilization rate


Company: cnbc, Activity: cnbc, Date: 2019-11-08  Authors: myelle lansat
Keywords: news, cnbc, companies, payment, 20s, student, history, rewards, 30s, score, build, debt, bills, moves, money, credit, card, strong, youre


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Ohio State’s star football player suspended for accepting loan

Chase Young of the Ohio State Buckeyes looks on against the Northwestern Wildcats at Ryan Field on October 18, 2019 in Evanston, Illinois. Ohio State’s star defensive end, a favorite for the NFL’s No. 1 draft pick next year, has been suspended from this week’s upcoming game for accepting a loan from a family friend last year — in violation of NCAA rules. Gavin Newsom opposing his “Fair Pay to Play Act,” a bill that would allow student athletes to profit off their likeness. The NCAA declined to c


Chase Young of the Ohio State Buckeyes looks on against the Northwestern Wildcats at Ryan Field on October 18, 2019 in Evanston, Illinois.
Ohio State’s star defensive end, a favorite for the NFL’s No.
1 draft pick next year, has been suspended from this week’s upcoming game for accepting a loan from a family friend last year — in violation of NCAA rules.
Gavin Newsom opposing his “Fair Pay to Play Act,” a bill that would allow student athletes to profit off their likeness.
The NCAA declined to c
Ohio State’s star football player suspended for accepting loan Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2019-11-08  Authors: damaris martino
Keywords: news, cnbc, companies, athletes, ncaa, student, nevius, young, loan, profit, suspended, accepting, star, ohio, states, player, game, football


Ohio State's star football player suspended for accepting loan

Chase Young of the Ohio State Buckeyes looks on against the Northwestern Wildcats at Ryan Field on October 18, 2019 in Evanston, Illinois.

Ohio State’s star defensive end, a favorite for the NFL’s No. 1 draft pick next year, has been suspended from this week’s upcoming game for accepting a loan from a family friend last year — in violation of NCAA rules.

“Ohio State’s Chase Young will not play in this Saturday’s game between the Buckeyes and the Maryland Terrapins due to a possible NCAA issue from 2018 that the Department of Athletics is looking into,” Ohio State’s Associate Athletics Director Jerry Emig said in a statement to CNBC. The suspension is for one game only, but the university is uncertain if it will be extended, he said.

Young’s agent Tim Nevius, a former NCAA investigator, on Twitter that Young accepted the money from a “close family friend to cover basic life expenses.” He called the NCAA rules “unfair and outdated,” and says the loan was repaid months ago.

Neither Young nor Nevius responded to requests for comment made to Nevius’ office. The size of the loan wasn’t disclosed.

In late September, the association sent a letter to California Gov. Gavin Newsom opposing his “Fair Pay to Play Act,” a bill that would allow student athletes to profit off their likeness. Last month, after mounting pressure, the NCAA announced it would “embrace change” by taking the first steps to allow student athletes to profit off their name, image and likeness. The new rules do not go into affect until January 2021.

Under NCAA guidelines, college athletes are allowed to accept student loans and scholarships to pay for expenses. The association does not currently allow students to profit off their name and likeness.

The NCAA declined to comment on the investigation, referring questions to Ohio State, which is running the investigation.


Company: cnbc, Activity: cnbc, Date: 2019-11-08  Authors: damaris martino
Keywords: news, cnbc, companies, athletes, ncaa, student, nevius, young, loan, profit, suspended, accepting, star, ohio, states, player, game, football


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It’s time to pay back that student loan. Here’s how to get it right

College graduates will soon be hit with their first student loan billWe’re heading into the season for turkey dinners, Christmas trees, presents and, for recent college graduates, their first student loan bill. Students who were handed their diplomas in May or June will find the half-a-year grace period on their federal student loans come to an end this month or next. You can remind yourself of your federal loan details and which company is servicing them at the National Student Loan Data System


College graduates will soon be hit with their first student loan billWe’re heading into the season for turkey dinners, Christmas trees, presents and, for recent college graduates, their first student loan bill.
Students who were handed their diplomas in May or June will find the half-a-year grace period on their federal student loans come to an end this month or next.
You can remind yourself of your federal loan details and which company is servicing them at the National Student Loan Data System
It’s time to pay back that student loan. Here’s how to get it right Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2019-11-07  Authors: annie nova
Keywords: news, cnbc, companies, student, wont, federal, youre, loan, kantrowitz, right, interest, youll, loans, heres, pay, soon


It's time to pay back that student loan. Here's how to get it right

College graduates will soon be hit with their first student loan bill

We’re heading into the season for turkey dinners, Christmas trees, presents and, for recent college graduates, their first student loan bill.

Students who were handed their diplomas in May or June will find the half-a-year grace period on their federal student loans come to an end this month or next. You’ll want to figure out that due date as soon as possible.

“The number one mistake is missing the first payment,” said Mark Kantrowitz, the publisher of SavingForCollege.com. “After six months, the borrower has forgotten about their loans.”

You can remind yourself of your federal loan details and which company is servicing them at the National Student Loan Data System. For any private, state or institutional loans, check your credit report.

You should then compile a list of all your loans, when they’re due, the monthly amount and lender. “Borrowers need to get organized,” Kantrowitz said.

You can also sign up for automatic payments to avoid being late. Many lenders offer a small interest rate deduction as an incentive for doing so, Kantrowitz said.

If you’re overwhelmed by what you owe, and worry you won’t be able to afford it, you should reach out to your lender, said Betsy Mayotte, president of The Institute of Student Loan Advisors, a nonprofit that helps student loan borrowers with free advice and dispute resolution.

“There are many options available to make the payment affordable and avoid credit dings and collection costs,” Mayotte said. (If you have federal loans, that is. Private lenders set their own terms).

There are ways, for example, to postpone your payments through so-called deferments and forbearances.

Borrowers should first ask whether they qualify for an economic hardship deferment, because under that option interest won’t accrue on your loans. (There are also interest-free deferments for cancer patients now.)

If a forbearance is your only option, proceed with caution. Your loans will rack up interest quickly, and when you’re finally forced to start repayment you’ll find your balance has ballooned.


Company: cnbc, Activity: cnbc, Date: 2019-11-07  Authors: annie nova
Keywords: news, cnbc, companies, student, wont, federal, youre, loan, kantrowitz, right, interest, youll, loans, heres, pay, soon


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What it means to refinance your student loans⁠ — and when it makes sense

If you’re considering refinancing your student loans, here’s more information about how the process works, as well as some pros and cons. How refinancing worksIf you have multiple student loans, refinancing allows you to replace one or more of your federal and/or private loans into a single new private loan with one set of terms. The average fixed interest rate on private student loans is about 9.94%, based on a recent survey from Debt.org. Refinancing makes more sense for private student loansT


If you’re considering refinancing your student loans, here’s more information about how the process works, as well as some pros and cons.
How refinancing worksIf you have multiple student loans, refinancing allows you to replace one or more of your federal and/or private loans into a single new private loan with one set of terms.
The average fixed interest rate on private student loans is about 9.94%, based on a recent survey from Debt.org.
Refinancing makes more sense for private student loansT
What it means to refinance your student loans⁠ — and when it makes sense Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2019-11-06  Authors: ivana pino
Keywords: news, cnbc, companies, refinance, refinancing, makes, student, rates, payment, means, loans, loan, private, interest, rate, federal, sense


What it means to refinance your student loans⁠ — and when it makes sense

College graduates who are figuring out how to best manage student debt may be weighing the costs of refinancing their loans, and with good reason. Refinancing lets you combine some or all of your existing federal or private student loans into one new, private loan — ideally one with a lower interest rate, helping you reduce your monthly payment. And now that the Federal Reserve has cut interest rates three times in 2019, most recently in October, rates on many private student loans are lower, too. Refinancing could result in substantial savings. If you’re considering refinancing your student loans, here’s more information about how the process works, as well as some pros and cons.

How refinancing works

If you have multiple student loans, refinancing allows you to replace one or more of your federal and/or private loans into a single new private loan with one set of terms. This could mean a lower interest rate and a shorter repayment period ⁠— which will usually save you money over time. Banks and credit unions may offer refinancing options, as do online lenders like SoFi, CommonBond, and Sallie Mae. New loans may have a fixed rate or one that’s variable. It’s smart to shop around and see what rates and terms you may be eligible for, and how much you could save.

Video by Stephen Parkhurst Say you owe $30,000 in student loan debt. The average fixed interest rate on private student loans is about 9.94%, based on a recent survey from Debt.org. At that rate you would pay almost $17,500 in interest over the course of a standard 10-year repayment period, with a monthly payment of $395. Some of the best rates on a private loan are currently about 5.22%. Refinancing to a loan at that low rate would decrease your monthly payment to $321 and save you roughly $8,900 over life of the loan.

Refinancing makes more sense for private student loans

The higher your current interest rates, the more you stand to save from refinancing. Borrowers with private loans are more likely to fit the bill. Generally, average interest rates for federal loans range from 4% to 7%, whereas interests rates for private loans can climb as high as almost 15%, according to Debt.org. Be aware, though, that refinancing can strip federal student loan borrowers of protections and benefits, including forbearance, deferment, income-driven repayment plans, and public loan service forgiveness plans.

Video by Ian Wolsten Betsy Mayotte, president and founder of The Institute of Student Loan Advisors, generally recommends staying away from refinancing federal student loans: She says it isn’t worth losing those critical protections. If you can’t afford federal loan payments, which offer a wider array of low payment plans than private loans, she points out, you might still struggle to make a payment if you refinance. “I can probably count on one hand the number of [federal student loan] borrowers where I thought it might be a good idea for them to refinance,” says Mayotte.

You may need to meet specific requirements to qualify

When evaluating your application, lenders try to determine how likely you are to pay your loan back. For example, Earnest, a common lender, requires a minimum credit score of 650, and looks at other factors like your debt-to-income ratio. This can be especially tricky for new grads who have less of an established credit history, which could mean that you would need a cosigner. “Lenders are looking for the cream of the crop, people who have very high credit scores, in the 700s for sure, as well as people who have a couple of years of on-time payment history under their belt,” says Mayotte.


Company: cnbc, Activity: cnbc, Date: 2019-11-06  Authors: ivana pino
Keywords: news, cnbc, companies, refinance, refinancing, makes, student, rates, payment, means, loans, loan, private, interest, rate, federal, sense


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This smart tax move can save you money if you’re married and have student loans

But if either you or your partner still have student loans to pay off, it may make sense to uncouple your taxes and file as “married filing separately.” But if one or both of you have student loans, your tax filing status can affect how much you’ll be required to pay each month toward that debt. Look for an advisor who specializes in student loans, which isn’t part of the typical curriculum. So it’s important to make sure you’re not securing a lower student loan payment at the cost of a higher o


But if either you or your partner still have student loans to pay off, it may make sense to uncouple your taxes and file as “married filing separately.”
But if one or both of you have student loans, your tax filing status can affect how much you’ll be required to pay each month toward that debt.
Look for an advisor who specializes in student loans, which isn’t part of the typical curriculum.
So it’s important to make sure you’re not securing a lower student loan payment at the cost of a higher o
This smart tax move can save you money if you’re married and have student loans Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2019-11-06  Authors: ben jay
Keywords: news, cnbc, companies, smart, filing, taxes, student, loans, tax, youre, loan, payments, financial, married, save, income, money


This smart tax move can save you money if you're married and have student loans

Filing your taxes jointly can be a great financial perk of married life. Your standard deduction doubles compared to what you got as a single filer, and you get access to many other tax breaks, too. But if either you or your partner still have student loans to pay off, it may make sense to uncouple your taxes and file as “married filing separately.” Under the right circumstances, doing so could save you hundreds of dollars on each of your monthly payments, and thousands over the life of your loans. “Far more married borrowers need to consider filing separately for taxes than are currently doing so to save money on their student loans,” says Travis Hornsby, a chartered financial analyst and founder of financial advisory firm Student Loan Planner. Not doing so is “one of the most common mistakes we come across.”

How getting married affects your taxes

When you and your new spouse file jointly, your combined income is taxed at a single unified rate. Depending on the particulars of your tax situation and factors like where you live, how much you earn, and what kinds of tax breaks you qualify for, getting hitched could mean you end up paying less in taxes — or more, in what’s often called a marriage penalty. The marriage penalty generally only kicks in if you would fall into two different tax brackets as individuals. And, after recent tax reforms, the penalty is only substantial for high earners. In most cases, though, your taxes will be much the same after you marry: “Assuming the couple’s joint income is below $600,000 … the tax outcome should be very comparable to each filing as single,” says certified public accountant Robert Westley, a member of the American Institute of Certified Public Accountants’ Financial Literacy Commission. But if one or both of you have student loans, your tax filing status can affect how much you’ll be required to pay each month toward that debt.

Video by Ian Wolsten

Why getting married could trigger higher loan payments

If you have federal student loans, there are several different kinds of repayment plans available to you, many of which peg your monthly payment to your income. Depending on the plan, those often cap payments at 10% to 15% of your discretionary income. The problem: If you’re filing jointly as a married couple, your spouse’s salary and debts factor into the calculations. Your minimum monthly payments could increase substantially — and you may no longer qualify for some income-based repayment plans. For example, say you have $37,000 in student loan debt and earn $40,000 per year. According to a calculator provided by Hornsby, your monthly payments might be as little as $177 on some income-based plans. Add in a spouse’s income, however, and your payment could more than double. In some of those income-based repayment plans, filing separately means that payments will be based on just the borrower’s income, rather than the household income. So you could end up paying less.

How to find the right tax strategy, given your student debt

Talk to a tax professional and a financial advisor to project how your tax filing status will affect your tax bill and your monthly student loan payments — and figure out the best plan to balance those financial obligations, Hornsby says. Look for an advisor who specializes in student loans, which isn’t part of the typical curriculum. Experts say “married filing separately” is the least-favorable filing status, because you’ll lose out on certain deductions and credits you’d otherwise be eligible for as a married couple. So it’s important to make sure you’re not securing a lower student loan payment at the cost of a higher overall tax bill. It helps to take a long-term-cost view, too. A lower student loan payment under a program that extends your repayment timeline means you’re paying more overall as interest builds up. And with an income-driven plan that offers loan forgiveness after 20-25 years, you could owe a substantial tax bill on that unpaid balance.


Company: cnbc, Activity: cnbc, Date: 2019-11-06  Authors: ben jay
Keywords: news, cnbc, companies, smart, filing, taxes, student, loans, tax, youre, loan, payments, financial, married, save, income, money


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This millennial paid off $102,000 in student loans in 6 years after starting with a $40,000 salary

Mandy Velez graduated from the University of Pittsburgh in 2013 with more than $75,000 in student loans. Velez, 28, had taken out a total of five loans ranging from $7,500 to more than $32,000 with interest rates between 6% and 11.75%. She calculated that if she only made the minimum monthly payment of $300, it would take her until 2046 to pay off her student loans and cost an extra $96,000 in interest. Subtract New York City rent, along with living expenses, and she would not have much spare mo


Mandy Velez graduated from the University of Pittsburgh in 2013 with more than $75,000 in student loans.
Velez, 28, had taken out a total of five loans ranging from $7,500 to more than $32,000 with interest rates between 6% and 11.75%.
She calculated that if she only made the minimum monthly payment of $300, it would take her until 2046 to pay off her student loans and cost an extra $96,000 in interest.
Subtract New York City rent, along with living expenses, and she would not have much spare mo
This millennial paid off $102,000 in student loans in 6 years after starting with a $40,000 salary Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2019-11-05  Authors: robert exley jr, patrick b healey, founder, president of caliber financial partners, joseph bartholomew
Keywords: news, cnbc, companies, 102000, 40000, vacation, worlds, student, velez, ventures, loans, starting, used, paid, york, video, pay, millennial, salary


This millennial paid off $102,000 in student loans in 6 years after starting with a $40,000 salary

Mandy Velez graduated from the University of Pittsburgh in 2013 with more than $75,000 in student loans.

Velez, 28, had taken out a total of five loans ranging from $7,500 to more than $32,000 with interest rates between 6% and 11.75%.

She calculated that if she only made the minimum monthly payment of $300, it would take her until 2046 to pay off her student loans and cost an extra $96,000 in interest.

Velez’s first journalism job out of college paid $40,000. Subtract New York City rent, along with living expenses, and she would not have much spare money to throw at her debt.

Watch the video above to learn more about the method Velez used to pay off her student loans.

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Disclosure: NBCUniversal and Comcast Ventures are investors in Acorns.


Company: cnbc, Activity: cnbc, Date: 2019-11-05  Authors: robert exley jr, patrick b healey, founder, president of caliber financial partners, joseph bartholomew
Keywords: news, cnbc, companies, 102000, 40000, vacation, worlds, student, velez, ventures, loans, starting, used, paid, york, video, pay, millennial, salary


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Elizabeth Warren blasts Navient, student loan servicer where billionaire Leon Cooperman is stakeholder

Democratic presidential candidate Elizabeth Warren lashed out at billionaire Leon Cooperman on Monday for his stake in student loan servicer Navient and stressed the importance of forgiving student debt. “I care about an entire generation of students being crushed by student loan debt — deferring their American dream because they can’t afford it,” Warren, the senior senator for Massachusetts, wrote in a Tweet. Outstanding education debt has outpaced credit card and auto debt, and the average col


Democratic presidential candidate Elizabeth Warren lashed out at billionaire Leon Cooperman on Monday for his stake in student loan servicer Navient and stressed the importance of forgiving student debt.
“I care about an entire generation of students being crushed by student loan debt — deferring their American dream because they can’t afford it,” Warren, the senior senator for Massachusetts, wrote in a Tweet.
Outstanding education debt has outpaced credit card and auto debt, and the average col
Elizabeth Warren blasts Navient, student loan servicer where billionaire Leon Cooperman is stakeholder Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2019-11-05  Authors: annie nova
Keywords: news, cnbc, companies, senior, debt, blasts, stakeholder, student, warren, servicer, leon, elizabeth, wellconnectednavient, navient, education, loan, wrote, wealth, cooperman, wealthy


Elizabeth Warren blasts Navient, student loan servicer where billionaire Leon Cooperman is stakeholder

Democratic presidential candidate Elizabeth Warren lashed out at billionaire Leon Cooperman on Monday for his stake in student loan servicer Navient and stressed the importance of forgiving student debt.

“I care about an entire generation of students being crushed by student loan debt — deferring their American dream because they can’t afford it,” Warren, the senior senator for Massachusetts, wrote in a Tweet. “I’m not afraid to stand up to the wealthy and well-connected.”

Navient is being sued by several states for misleading borrowers. An audit by the U.S. Department of Education last year suggested the company uses deceptive practices.

Outstanding education debt has outpaced credit card and auto debt, and the average college graduate leaves school $30,000 in the red today, up from $10,000 in the 1990s. Default rates are on the rise, and a senior student loan official recently resigned from the Trump administration, calling its lending system “predatory” and “unsustainable.”

Warren plans to pay for her student debt forgiveness plan with a 2% annual levy on accumulations of wealth exceeding $50 million, and an additional 1% tax on wealth over $1 billion.


Company: cnbc, Activity: cnbc, Date: 2019-11-05  Authors: annie nova
Keywords: news, cnbc, companies, senior, debt, blasts, stakeholder, student, warren, servicer, leon, elizabeth, wellconnectednavient, navient, education, loan, wrote, wealth, cooperman, wealthy


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