But Hanlon said that number, at least initially, might be too aggressive; instead the school district might remove between 40 and 50 buses.
The school system last year had 650 buses that transported more than 30,000 students to the city-run schools as well as charter, private, and parochial schools.
But the truth is the debt is still there, as are the habits that caused it—you just moved it!
You can’t borrow your way out of debt in the same way you can’t get out of a hole by digging out the bottom.
Lenders have fixed costs to process payments and repayment can spread out over a larger period.
However, such consolidation loans have costs: fees, interest, and "points" where one point equals to one percent of the amount borrowed.
Advertisement Dimitris Bertsimas, co-director of MIT’s Operations Research Center, said the computer model that he and two doctoral students developed created the efficiencies in the busing system by looking “at billions and billions of permutations.”“Only a computer model can do that,” he said.
“Humans are incapable of doing these computations.”Boston has been struggling for years to curtail transportation spending.
It’s typically considered for people who have high consumer debt.
In the process of consolidation, each original loan is paid in full and a new Direct Consolidation Loan is originated for the combined balance of the consolidated loans.
ED determines the interest rate of the Direct Consolidation Loan by taking the weighted average of the interest rates on your existing loans and rounding up to the nearest 1/8 of a percent (0.125).
One way to resolve a defaulted loan is to combine your existing federal student loans into a new Direct Consolidation Loan from the US Department of Education (ED).
Even if you have only one defaulted student loan, you may obtain a Direct Consolidation Loan to resolve the default.