news release
FOR IMMEDIATE RELEASE:
April 6, 2009

CONTACT:
Aaron Pickering
(202) 466-3686 ext. 137 		apickering@equaljusticeworks.org
www.equaljusticeworks.org
STUDENT DEBT RELIEF ON THE WAY;
HISTORIC LEGISLATION TAKES FULL EFFECT JULY 1

New Online Resource Helps Grads Benefit from the College Cost Reduction and Access Act
WASHINGTON, D.C. - The College Cost Reduction and Access Act – legislation that forgives student debt and limits monthly loan payments – becomes fully effective on July 1, 2009. Signed into law nearly two years ago, the College Cost Reduction and Access Act (CCRAA) will now help thousands of recent graduates cope with student debt and enter public service.

Many experts believe that the new law, combined with other legislation to increase support for national and community service, will sweep in a new era of public service for the country.

To help college graduates and their advisors understand, qualify and take advantage of benefits under the College Cost Reduction and Access Act, Equal Justice Works has developed a free online resource center that provides a comprehensive overview of its provisions as well as many practical tools including simple checklists, calculators, lists of loan repayment assistance programs, FAQs and podcasts.

The College Cost Reduction and Access Act includes two key provisions – Income-Based Repayment (IBR) and Public Service Loan Forgiveness (PSLF):
  • Income-Based Repayment lowers monthly student loan payments on federally guaranteed student loans; and
  • Public Service Loan Forgiveness cancels remaining debt for public servants after 10 years of public service employment.
Among the many considerations for those looking to take advantage of one or both of these provisions are learning what counts as public service employment; how much will be paid under IBR; and tax implications for these programs. In addition to the comprehensive online resources, Equal Justice Works also maintains a forum to answer common questions about the benefits.

Heather Jarvis, senior program manager for Equal Justice Works and Vice Chair of the ABA Section of Legal Education’s Committee on Government Relations and Student Financial Aid, has spent much of the last year touring campuses around the country explaining the College Cost Reduction and Access Act to students, financial advisors, and career counselors.

“We think that the College Cost Reduction and Access Act is probably the most significant breakthrough in public interest law in a generation,” says Ms. Jarvis, “so I’m continually surprised at how little is known about the benefits of the new law.” The benefits are “huge, potentially life-changing” says Ms. Jarvis, but they are not automatic or guaranteed, and students need to be sure that their loans qualify under the new law. That, she says, was the motivation for compiling the best resources for students on the Equal Justice Works website.

“There’s a lot to know – it can be hard to wrap your head around,” says Jarvis, “But we’ve made it as easy as it can be through outreach to schools and the new site.”

Equal Justice Works “Student Debt Relief” is at http://www.equaljusticeworks.org/resources/student-debt-relief/default. Partial funding for the development of the online resource center on equaljusticeworks.org and other outreach efforts to increase awareness of the College Cost Reduction and Access Act was provided by a generous grant from the Ford Foundation.

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Equal Justice Works, a nonprofit, nonpartisan 501(c)(3) organization, was founded in 1986 by law students dedicated to working for equal justice on behalf of underserved communities and causes. Today, Equal Justice Works is the national leader in creating summer and postgraduate public interest opportunities for law students and lawyers as well as in urging more public interest programming at law schools. For more information, visit www.equaljusticeworks.org.
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