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Obama plan consolidating student loans

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But President Obama realizes that many students need relief sooner than that.

The good news is that federal loans carry a six-month grace period so there is time to develop a plan for dealing with them.It is not unusual to owe money to 8-10 separate lenders, maybe more if you had a combination of private and federal loans.If you continue borrowing for graduate school, it’s easy to add another 4-6 lenders to the mix.After providing an endless supply of loan opportunities to help students solve the problem of paying for a college education, the federal government was faced with the obvious follow up: What can you do to help students pay back those loans?The answer has been a series of income-driven repayment plans, including the Pay As You Earn (PAYE) program and its most recent offspring, the Revised Pay As You Earn program or REPAYE.Steps like these won't take the place of the bold action we need from Congress to boost our economy and create jobs, but they will make a difference.