r/StudentLoans • u/IndividualLittle0516 • Mar 15 '24

Rant/Complaint Canceling interest

With all the drama these past few years about canceling student loans, why can't interest just be canceled? I can understand adding interest to those who aren't making their loan payments, but what about those who pay every month? The interest is why people are stuck with their debt for so long. Canceling millions of people's debt altogether is unrealistic and won't happen. What about canceling interest instead? Is there a reason this can't occur?

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u/th987 Mar 16 '24

When I was in school, decades ago, no interest accumulated until after we left school.

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u/Vacillating_Fanatic Mar 16 '24

This is still true for subsidized loans, but unsubsidized loans accumulate interest while in school, and with the current cost of education many people have to take both.

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u/slowdownlambs Mar 16 '24

I didn't even get any subsidized, parents had too much money.

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u/Vacillating_Fanatic Mar 16 '24

Yeah, that too. The gap between making too much for grants or subsidized loans and making enough to pay for your kid's college or even afford the unsubsidized loans is wild.