This is great for these students and all, but as other have noted, this points to a deeply dysfunctional system. His wealth is reportedly $5bn (or up to $13bn depending on the source). This means he could pay off all student debt at this college for…
Four hundred goddamn years!
And he’d still be a billionaire.
Tax the rich.
Loan forgiveness is great, but I’ve been frustrated that there seems to be so little serious discussion on how to make a college education more affordable through scholarships, better public funding of higher education, and finding a way to reduce the ever-increasing cost of education that has been far out-pacing inflation for decades. The inflation-adjusted cost of a four year college with room and board has increased by 180% between 1980 and 2020. If we can figure out a way to get these insane costs under control then fewer loans will be needed in the first place.
Plus, dollar-for-dollar, money is much better spent on scholarships on the front end than on paying back loans after the fact. It helps those who wouldn’t go to college at all because they don’t want to take on the debt, and it doesn’t make the banks richer by spending part of the money on interest.
Because there are easy solutions to it that certain politicians don’t want to bring up:
$35K in loan debt per graduating student is actually below average for California.
Although looking at that school’s data, only 55% (in 2020) borrowed money.
I understand that sentiment to an extent, because I also worked several jobs during college (including a night job locking up park restrooms, interesting times!) and chose a public university with low tuition where I could live with my parents instead of on campus. But times really are different, and no matter how willing a student today may be to work, they often can’t hope to make anywhere near enough to pay tuition even at a relatively affordable public university. And if taking fewer classes in order to work delays your graduation at all, then it’s actually counterproductive to have a job:
Also, see this article. Yeah, it’s a bit unfair. But still a good idea.
Like I posted upthread though- I’d like to see more movement on controlling costs.
Edit: apologies @Mangochin, somehow I replied to the wrong post.
Also, I’m willing to bet that many of these students are working a job AND drowning in student debt.
While there is no tuition reduction for California students, 89.9% of freshmen receive some form of financial aid, with the average amount totaling $18,661. Students from low-income families receive an average of $26,583 in aid during their first year.
@WedgeAntilles and @Brainspore Just because it is normal doesn’t make it right. 
That’s true of so many aspects of our country.
All our systems are lacking and broken.
And @euansmith…
I appreciate everyone’s thoughtful replies to my comments. In fact, my wife and I had discussed this before, and though I finished school with very little debt (I took it only to make sure I wasn’t entirely broke, but debt free after I was done, plus, rates were favorable), I would still encourage debt relief.
Related, what I think really, really sucks is the bankruptcy laws that allow someone to rack up debt for crap purchases then be able to walk away from it. Except for student loans. Why the heck were student loans exempted?
Well it’s certainly to the lenders’ advantage for people to think that the debt can’t be discharged in bankruptcy…
Interesting, thanks for the pointer @Otherbrother . So the law is actually vague and leaves a lot of the decision to the bankruptcy judge as to whether the student borrower is having “undue hardship”. Sure would be better to just have legislators make it more clear, but you know how that goes, the ABA (American Banksters Association) has more lawyer lobbyists in DC than student borrowers do.
Has Mr. Spiegel found his inspiration from Tony Stark?
“You’re funded, you’re funded, you’re all funded”.
Yes, it’s a gesture of goodwill, but it’s kind of a man-child gesture all the same.
Yes, that is scholarships and grants. The 55% I cited was the 2020 grads who took loans.
Sucks for the dude/dudette that was a few credits short and will be graduating in the fall…
I’m not sure if you were going for “jealous asshole” there but you fucking nailed it!
I wonder how the Class of 2021 feels about this?
