For students unable to began re-paying their student loans at the designated time, develop a program (possibly on the model of Job Corps, Peace Corps, etc.) that provides a needed and relevant service to designated federal agencies, state agencies and/or community organizations where students would enter a "contract" to provide "creditable" service to the program that would be credited toward reduction of the principal balance of the student loan. Standards should be established that the student's work must meet and maintain to achieve the creditable service (if an employee's work must reach a minimum standard when evaulated to receive pay, bonus, retention then so should the student's work). If possible and funds are available, maybe students could receive pay and credit in the reduction of the student loan balance in the manner of an intern program.
The program should have a certain number of slots available for students and once a student obtains a job and is able to make his/her monthly student loan payment for at least a quarter, that student would leave the program and that slot would be given to another student that does not have the financial ability to make his/her monthly student loan payment.
To be eligible for this program, the student must provide documentation of his/her efforts to obtain a paying job during the time frame between leaving college and the designated time to begin repayment of the student loan.
Comments (2)
I agree, I can't pay my school loans, can't work, and there are few opportunities even on Americorp, in my state. I'd like an internship and have had to quit school and would like to go back at some point.
Students should be bailed out, just like the banks have been.