President Obama signs student loan bill

RICHMOND, VA (WWBT) - President Barack Obama put his signature on the largest rewrite of federal college assitance programs in 40 years.

Obama signed the bill at Northern Virginia Community College in Alexandria to sign into law the fixes the Senate made last week.

This new law revamps the student loan system, making it more affordable to go to college.

It will make the government the primary lender to students who need loans to pay for school, taking that power away from banks.

The bill is also expected to make it easier to repay student loans.

The plan caps repayments at 10 percent of a graduate's income when the law takes effect in 2014.

The bill will also expand federal pell grants.

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