Latest news with #OneBigBeautifulBill
Yahoo
4 hours ago
- Business
- Yahoo
Do you need a cosigner for student loans?
Key takeaways You may need a cosigner for your private student loans if you have bad credit or little credit history. Most federal student loans won't require a cosigner, but there are exceptions. The cosigner assumes legal responsibility for your debt and must fulfill payment obligations if you cannot. You may be able to release your cosigner from the loan if you are more financially stable in the future. Depending on your financial history and student loan type, you may need a cosigner to qualify for a student loan. When you apply for a loan with a cosigner, the lender considers their credit and financial history in addition to your own. Even if you don't need one to qualify, having a cosigner could help you secure better interest rates and loan terms. Federal student loan changes making you eye private lenders? Here are 7 with federal loan-like perks Upcoming changes to federal student aid with the passage of the Trump administration's One Big Beautiful Bill may have borrowers looking to private lenders for more assistance. Learn more When do you need a cosigner? A cosigner with a good to excellent credit score can help you get a private student loan if you can't qualify on your own. For federal student loans, you don't need a cosigner unless you plan to apply for a PLUS loan. These loans may require an endorser if you have a poor credit history. An endorser is the federal government's version of a cosigner. Endorsers don't need to apply with you, but they will need to submit an endorser addendum, which basically states the endorser agrees to pay the loan if the borrower fails to repay. Learn more: Private vs. federal student loans: Which is better for 2025? Federal vs private student loans Federal student loans Private student loans Most federal student loans don't require a cosigner Private student loans are administered by banks, credit unions and other private lenders You may need a cosigner, also known as an endorser, for PLUS loans If you have bad credit or no credit, you'll need a cosigner to qualify Keep in mind big changes are coming in 2026 through the One Big Beautiful Bill Choose a trusted adult with healthy credit history to be your cosigner Federal student loans According to student loan expert Mark Kantrowitz, author of How to Appeal for More College Financial Aid, borrowers who have 'adverse credit history' such as bankruptcy discharge, serious delinquency or wage garnishment within the past five years, 'can obtain the loan with an endorser who [has a good credit history].' The passage of the Trump administration's One Big Beautiful Bill Act means the landscape for federal student loans will change significantly. The new legislation will get rid of grad PLUS loans, and parent PLUS loans will have annual and aggregate loan limits. These changes will be official starting July 1, 2026. According to Kantrowitz, these changes may have more borrowers seeking loans from private lenders. Private student loans Private student loans require a cosigner if you don't have much credit history or if your credit score is low. Cosigners with a good credit history can help you get a more competitive interest rate even if you qualify for the loan on your own. If you have good credit (generally a score of 670 or higher), you might be able to get a private student loan without a cosigner. You'll need to have a consistent payment history with no late payments to qualify on your own, among other financial fitness characteristics. Lenders typically consider these financial factors when deciding if borrowers need a cosigner: Borrower's age Credit history Employment history and current income Debt-to-income ratio (DTI) Unlike federal student loans, private student loans are administered by banks, credit unions or online lenders. You'll need to provide your financial information and loan needs through the lender's loan application. How to choose a cosigner According to Kantrowitz, asking someone to cosign a loan is a big responsibility since cosigners are 'equally obligated to repay the debt.' You need to be mindful of the fact that late payments can have serious consequences on your cosigner's credit. Learn more: Co-Borrower vs. cosigner: What's the difference? When you look for a cosigner, look for people you know and trust with a good credit history. According to Katarina Ellison, director of Sallie Mae, you want someone who can help you get a good interest rate, but the person should also be someone you can be honest with if things are not going well, be it a guardian, friend, spouse or relative. It's important to approach someone to be a cosigner in the right way. Make it clear that you know this is a weighty task. It could be a good idea to discuss details and form an official agreement with the cosigner before you apply for a loan. How to get a student loan without a cosigner Sometimes you can't find someone to cosign your student loan. If you must apply for a private student loan, make sure you're in good financial health to qualify so you do not need a cosigner. To get a private student loan on your own, you typically need a credit score of 640, although some lenders may have different requirements. Bankrate's take: Your best option for getting a student loan without a cosigner is to apply for a federal student loan. To increase your chances of being approved: Make timely payments on existing credit: This shows that you are trustworthy and will help boost your credit score. Don't max out your credit card: Every credit card has a maximum credit limit. If you are constantly using all of your credit, it will impact your credit score negatively. Establish a steady income: Many lenders have a minimum annual income requirement, but they also typically look for borrowers with a steady source of income. Find a lender with fewer requirements: There are some student loan lenders that want to make it easier for borrowers with bad or little credit to access student loans. These lenders may look at your school information, major and future earnings potential to qualify you for a loan. How can I get student loans if my parents won't cosign? Some parents are unable or unwilling to cosign your student loans. If you still need to find a way to pay for student loans, consider all your options. After you do this, evaluate if you still need to borrow money. You may still need a cosigner to help you get a private student loan. 'If you need a cosigner, consider whether another trusted adult, like a grandparent, relative, or mentor, might be willing to help,' says Ellison. Releasing a cosigner from your loan Private lenders commonly require cosigners, but some lenders may release cosigners from student loans once the primary borrower can meet certain requirements, such as making a set number of on-time payments. For example, College Ave allows borrowers to apply for cosigner release after half of the original payment term has passed, but the borrower must also have an annual income that is at least twice the remaining balance on the loan. SoFi offers cosigner release on private student loans after 12 consecutive payments have been made on the loan. The cosigner usually needs to apply for the release. You'll likely need to fill out a form and submit it to your lender. Some lenders may also require the primary borrower to go through a credit check. To plan for cosigner release, look for lenders that are upfront about their cosigner release policy. From there, be sure to make timely payments and take steps to build your credit score to prepare for cosigner release. Some lenders allow you to apply for cosigner release after 12 to 36 months of consecutive, on-time payments. Frequently asked questions Can I take out student loans by myself? Yes, you can take out student loans by yourself. To take out federal student loans on your own, you'll need to fill out the FAFSA. This will require details about your parents' financial history. You don't need a cosigner for federal student loans unless they are PLUS loans. For private student loans, you will need to have a good credit history to qualify on your own. If you have no credit history or poor credit history, a cosigner may be required to get a private student loan. Are there any loans that don't need a cosigner? There are multiple student loan options that don't require a cosigner. All federal student loans (besides PLUS loans) can be acquired without a cosigner. For private student loans, you'll need to have a credit score in the mid-600s to qualify without a cosigner. Sign in to access your portfolio
The Star
6 hours ago
- Business
- The Star
Green hydrogen bubble that BP helped burst
SYDNEY: Australia's long-held ambitions to tap its abundant renewable resources and vast uninhabited landmass to become a global green hydrogen leader is fast unravelling. Despite strong government backing and significant private sector interest, at least seven big hydrogen production projects have been delayed, scaled back or cancelled in the last year. Chief among them was BP Plc's decision last week to exit a US$36bil facility in the Pilbara region of Western Australia, which had targeted starting production this decade. Around the world, project withdrawals have accelerated as developers struggle to secure customers willing to pay a premium for the fuel. Costs remain persistently high, unlike the sharp price drops seen in solar and wind that have boosted their competitiveness. That's raised concerns about the feasibility of using renewable energy to produce hydrogen that can be stored, transported and consumed like a fossil fuel to help nations meet net-zero goals. It also looks set to make Asia's goal of cutting hard-to-tackle emissions tougher to achieve. 'This isn't just an Australian issue. There has been a slowdown in development globally, in large part because the cost hasn't come down as fast as previously forecast,' said Simon Nicholas, an analyst at the Institute for Energy Economics and Financial Analysis, a think tank that seeks to accelerate the energy transition. 'I hope that the bursting of the hydrogen hype bubble is an opportunity for a reset.' There are more green hydrogen projects under development in Australia than in any other country, with a A$225bil (US$147bil) pipeline worth of proposed projects, according to the government. But only three relatively minor plants are actually operational in the country, while most others remain in preliminary planning stages. In recent years, many of the largest energy companies have tempered plans for green hydrogen as a way to better scale up renewable electricity. Plans to produce about 1.67 million tonnes of clean hydrogen had been shelved as of the end of June, according to BloombergNEF (BNEF) – over five times the amount of actual capacity. Meanwhile, just 1.9% of planned projects have secured financing or started construction. Europe, which could become one of the world's largest consumers of green hydrogen in its push to achieve climate neutrality by mid-century, has grappled to overcome high costs, forcing some projects to be abandoned despite government support. Growth of the technology in the United States is also now in doubt after Trump's One Big Beautiful Bill significantly limited tax credits to produce the fuel. A year ago, credits were expected to help lead to about 1.2 million tonnes of annual green hydrogen production by 2030, BNEF said. 'If those incentives don't exist, I don't think this industry will exist,' said Payal Kaur, BNEF's hydrogen analyst. 'There will be cancellations if the economics don't work, and the economics don't work without the credits.' In Australia, the challenges come despite strong government support and some of the world's best natural conditions to produce hydrogen using renewables. The government has committed at least A$4bil to support the green hydrogen industry to bridge the cost gap between production and market prices. However, access to most of this funding depends on developers proving commercial viability upfront, a challenge as long-term buyers remain scarce. The Australian Renewable Energy Agency is responsible for administering the government's Hydrogen Headstart programme and has so far provided more than A$370mil to 65 renewable hydrogen projects. The agency 'appreciates that the renewable hydrogen industry is nascent and will naturally experience challenges as it scales up', it said. Fortescue Ltd and Woodside Energy Ltd said this month they would withdraw from green hydrogen plans in Australia and the United States. While those announcements are disappointing, the clean fuel is essential to manufacturing and industry in a net-zero future, Australian Energy Minister Chris Bowen said. Some green hydrogen projects are still moving forward, despite the cost challenges. In Europe, climate policies are encouraging deals, such as the one between Germany's RWE AG and TotalEnergies SE to supply hydrogen to an oil refinery. Those contracts will help to underpin new production. Elsewhere, China and India are pushing ahead in a race to produce some of the world's cheapest green hydrogen. Even so, the clean fuel remains far more expensive than fossil fuels, according to BloombergNEF. For now, demand is mainly concentrated in sectors already using hydrogen, such as oil refining and fertiliser production. China also benefits from a mature domestic supply chain of electrolysers – the machines that convert water into hydrogen and oxygen – that has helped reduce project costs. In contrast, Australia depends on European-made production units, which cost multiples of the Chinese ones, according to Nigel Rambhujun, a hydrogen analyst at Rystad Energy. Australia's hydrogen dreams, meanwhile, risk being left in tatters. The current 'situation may prompt a reassessment of sourcing strategies, with greater emphasis on evaluating alternative regions', said Shintaro Onishi, a hydrogen and ammonia analyst at Wood Mackenzie. The researcher has already incorporated a 'limited future role of Australian hydrogen exports' in its outlook, he said. — Bloomberg
CNBC
7 hours ago
- Business
- CNBC
'I don't care about Direct File': IRS chief says agency plans to end free filing program
Internal Revenue Service Commissioner Bill Long said the agency will end its Direct File program after a limited pilot and one full filing season. President Donald Trump's massive spending and policy bill includes funding to research and "replace any direct e-file programs run by the Internal Revenue Service." Already, the program is "gone," Long said at a tax professional summit on July 28, Bloomberg Law reports. "You've heard of Direct File, that's gone," Long said. "Big beautiful Billy wiped that out. I don't care about Direct File. I care about direct audit." The agency has not confirmed the future of the program. "Commissioner Billy Long is committed to modernizing the IRS and providing a taxpayer experience that meets today's expectations, which includes giving taxpayers transparency into the status of their tax returns and audits," an IRS spokesperson told CNBC Make It in an emailed statement. "We look forward to Treasury's forthcoming report to Congress on the Direct File program and on potential public-private partnership alternatives to Direct File, as required by the One Big Beautiful Bill." The Direct File program allowed taxpayers in certain states with simple tax situations to file their taxes for free directly through the IRS. The agency piloted the program in 12 states in 2024 and expanded to an additional 13 states in 2025. An estimated 30 million Americans were eligible to use the filing option in 2025, according to the Treasury Department. Some Republicans have called the program wasteful and an overreach of the federal government. The Trump administration was already planning to end the Direct File program prior to the policy megabill, the Associated Press reported in April. Nearly 300,000 filers used Direct File for the 2025 tax season, and 94% of users who completed an IRS survey rated their experience as "excellent" or "above average," according to an internal IRS report obtained by Nextgov/FCW. Taxpayers who received an extension and as a result haven't yet filed their 2024 taxes are still be able to access Direct File to get their returns in by the Oct. 15 deadline, the IRS confirmed. Even if Direct File is eliminated by next year's tax season, taxpayers may have options to file their taxes for free. The IRS has another free filing program where the agency partners with third-party tax preparation software companies to provide services to taxpayers, although there are varying eligibility requirements, including adjusted gross income and state of residence. You can use the IRS' questionnaire tool to find an applicable partner. Additionally, the IRS sponsors the Volunteer Income Tax Assistance program, which helps taxpayers earning less than $67,000 a year for 2025, who have a disability or who speak limited English get in-person tax preparation assistance for free. You can also DIY your taxes by accessing the IRS' free fillable forms and submitting them directly to the agency.
Yahoo
8 hours ago
- Business
- Yahoo
Quest, Labcorp downplay ‘Big Beautiful Bill' impact
This story was originally published on MedTech Dive. To receive daily news and insights, subscribe to our free daily MedTech Dive newsletter. Historic Medicaid cuts in Republicans' 'One Big Beautiful Bill,' signed into law earlier this month, are unlikely to have a negative impact on laboratory testing volumes in the near term, executives at Labcorp and Quest Diagnostics reassured investors on earnings calls last week. Labcorp CEO Adam Schechter, answering an analyst's question on potential fallout from the legislation, described the impact as manageable. While lab testing is an essential tool used in almost every healthcare decision, it accounts for a 'very small fraction' of U.S. healthcare spending, the CEO said. The new tax and domestic policy law overhauls Medicaid and the Affordable Care Act to align with Republican priorities, including funding cuts, Medicaid work requirements and stricter eligibility verification for the safety net insurance program and the healthcare exchange. The legislation decreases federal healthcare spending by $1.1 trillion over the next decade and is expected to cause 10 million Americans to lose health insurance. Schechter said he doesn't foresee an impact on Medicaid until 2028, 'and the key is going to be, do people find insurance through other ways, through states or spouses that might have insurance?' If a large group of people become uninsured, Schechter said he would be concerned, but he doesn't expect that to happen. 'I don't think it's very likely in the United States that you'll have a very big group of people automatically become uninsured in a specific period of time,' he said. On the healthcare exchange, the expiration of tax credits could have a negative impact for Labcorp of as high as 30 basis points, Schechter said. The legislation will be harder on Labcorp's hospital customers, he said, which could accelerate deals for outreach businesses and running hospital laboratories. Quest Diagnostics CEO Jim Davis said the cuts to Medicaid would have no impact next year and 'very little' impact in 2027 because states will have time to react to the changes. In addition, no more than 4% to 5% of Quest's revenue comes from the healthcare exchange. CFO Sam Samad said the company expects an impact of about 30 basis points on Quest's testing volumes in 2026 if exchange subsidies are not renewed at the end of this year. Davis said people who buy their insurance on the exchange may be able to pay higher premiums to keep their coverage or could switch to their employers' health insurance. Both Quest and Labcorp raised their revenue forecasts for 2025. William Blair analyst Andrew Brackmann, in a note to clients Friday, said Labcorp investors are likely to remain focused on potential impacts from Washington. However, 'looking to the second half of the year and into 2026, expectations appear appropriately set.' Recommended Reading Labcorp to buy some Community Health assets for $195M Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Hindustan Times
12 hours ago
- Business
- Hindustan Times
Indian Americans fret over Big Beautiful law
On July 4, as Americans marked the 249th anniversary of the nation's founding, President Donald Trump signed into law his signature legislative achievement: The 'One Big Beautiful Bill'. Spanning nearly 900 pages, the legislation overhauls the US tax code, boosts spending on defense, border security, and infrastructure, and introduces a wide array of industry-specific incentives and subsidies. While the bill's sweeping provisions will affect virtually all Americans, immigrant communities, including Indian Americans, are poised to face a wide range of challenges due to its provisions. (AFP) In addition, the law slashes funding for some entitlement programmes, most notably Medicaid, to help offset the cost of tax cuts. Yet, it will still add an estimated $3 trillion to the national deficit of the US over the next decade. While the bill's sweeping provisions will affect virtually all Americans, immigrant communities, including Indian Americans, are poised to face a wide range of challenges due to its provisions. One of the many contentious elements of the legislation is the $170 billion allocated for border security and immigration enforcement. Of that, $75 billion — which is roughly the size of the entire annual defence budget of India — is set aside as additional funding for Immigration and Customs Enforcement (ICE), an agency that has drawn widespread criticism in recent months for its aggressive detention of undocumented immigrants and controversial deportation tactics. For the Indian diaspora in the US, recent enforcement actions have already provided a sobering preview of what expanded ICE funding could mean. India ranks second only to Mexico as the country of birth for immigrants in the US. According to the Pew Research Center, 6% of all US immigrants were born in India. Indian nationals also make up one of the largest undocumented immigrant populations in the country, estimated at approximately 725,000, trailing only Mexico and El Salvador. Earlier this year, dozens of undocumented Indian immigrants were deported in chains, triggering widespread outrage in India. With ICE now receiving a significantly expanded budget, many fear that such outrageous deportations could become more frequent. It's not only undocumented immigrants who are worried. The legislation's emphasis on enforcement and scrutiny is also creating anxiety among Indian nationals who are in the country legally, particularly those on H-1B visas to work in specialty occupations. Currently, more than a million Indian nationals, most of them on H-1B visas, are stuck in the so-called green card backlog. This is due to an outdated provision in US immigration law that limits any single country to no more than 7 % of the 140,000 employment-based green cards issued annually. As a result, Indian applicants are eligible for only 9,800 green cards each year, despite making up a much larger share of high-skilled foreign workers. This means that those in the EB-2 and EB-3 categories for workers with advanced degrees and professional skills, the wait can stretch for decades, and some may never receive permanent residency in their lifetime. It remains unclear how the new legislation will directly affect H-1B holders, but the mood within the community is one of heightened anxiety. Many H-1B professionals fear that the Make America Great Again (MAGA) movement's 'America First' ideological opposition to foreign labour, combined with increased visa scrutiny under the current administration, could lead to tighter restrictions or even targeted enforcement. This sense of uncertainty is not confined to the workforce. Indian students on F-1 visas are also feeling increasingly vulnerable, particularly in light of the administration's growing crackdown on campus protests and heightened policing of free speech. Beyond immigration and visa concerns, the law also contains financial provisions that could directly affect the diaspora households, especially a new tax on international remittances. Beginning next year, a 1% tax will be imposed on remittances sent by US residents to family and friends abroad. Earlier drafts of the legislation had proposed a much steeper 5% tax, but that provision was scaled back following intense lobbying from the money transfer industry. Estimates suggest that remittances from the US to India, primarily sent by Indian nationals and Indian Americans, range from $25 billion to $29 billion annually, making the US the single largest source of remittance to India. Another provision that will impact immigrant communities, particularly those lower-income households, is the significant cut to critical public services like Medicaid. According to projections based on estimates from the nonpartisan Congressional Budget Office (CBO), the legislation would reduce Medicaid spending by $1 trillion over the next decade, potentially leaving more than 10 million additional Americans without health insurance. While there's a common perception that Indian Americans are uniformly affluent, this is far from the truth. Many families, especially recent immigrants or those in lower-wage sectors, depend on public health programmes for essential care. All these provisions come with a substantial price tag. At the macroeconomic level, the legislation is drawing sharp criticism for significantly increasing the US national debt, which already exceeds $36 trillion. From visa holders navigating an increasingly hostile immigration landscape to families sending money home or relying on public health programmes, the ripple effects of the new law are wide and deeply personal. In attempting to fulfill its promise of putting America First, the 'one big beautiful bill' may leave many behind, including Indian Americans who have long believed in the American dream. Frank F Islam is an entrepreneur, civic leader, and thought leader based in Washington DC. The views expressed here are personal.
