It does, just not for those it purportedly serves. I had this debate with someone whose countering argument was that ‘students are investing in themselves’. To which I replied ‘no, the students are the investment’.
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Just fucking default and let them steal your tax return for the rest of your life.
Or sign up for income based repayment if you qualify.
She attended anyone, convinced that postsecondary education was the path to social mobility.
With today’s spelling and grammar checkers, you can avoid the cost of higher education in communications related areas.
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There’s nothing wrong with banking being profit focused, it’s a business. What is wrong is getting our government to make student loans risk-free, thus allowing the banking-education Mafia to ramp up tuition cost Sky High by saying “oh you can just borrow”. Because now the banks had no reason to refuse loans to anybody, they have you for life, till you die.
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I did income based repayment for awhile. Luckily I finally got a job where I made enough to finally work toward paying off my SL debt, or I would probably still be paying it. It still took a long damn time.
And have them blow your credit rating to hell so you’ll never own a house, and might even have trouble getting a car (unless you go for those “Bad Credit OK” b.s. loans, but then you are a new realm of shit).
Although, if Experian stays the course, all of us will have bad credit before much longer.
The lenders’ goal isn’t to make it easy for you to “just fucking default”; which is why they’ve spent all that time and money lobbying to close any holes you might try to dart down to escape their shitstorm.
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That was my understanding as well and I was particularly surprised to find someone who managed to discharge $160K in “Student Loans” from Navient last year.
Not only that, the woman who got them discharged is pushing 60 and claimed the loans were from 2015-2017 on the Bankruptcy filing I found. (Discovered while doing a background check for a friend who was renting his place out to her)
Coincidently her daughter apparently graduated Law School 4 years ago.
I think she managed to get her daughter’s student loans dismissed.
There is way more to this story than I will post here, but there is a loophole and you kind of have to go all in to take advantage of it.
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that’s not the way student debt worked until recently.
Student Debt does NOT work the way normal debt does.
Another option, when ‘the rent’ (the money made just for having the money to lend, the money made without work involved, just for owning a thing) is too damn high is for people to communicate and organize to make change. That’s the way it should work, right?
A third option is making a deflating comment - which may have the effect of disrupting communication towards change, if the status quo is your thing. Is it? have any other peaches to offer? Such comments, they really show your best side. Please, talk down to us further, we’re all silly children and we hang on your advice.
(unedited)
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More approachable tuition costs or less predatory loans?
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In paying off my student loans, I used a booklet of receipts issued to me by the lender. I’d tear out individual receipts every month and send them in with my check payments. When I noticed that I was running low on the receipts, I phoned the lender, asking for a couple of more booklets. The lending agent’s reaction was… strange (but now fully understood): “Great! Don’t… don’t hang up! Your name! What is your name, please! And your phone number?!” My impression then was that the agent had “caught a rare fish”.
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And not be able to go to school and dig you and your family out of poverty, further reinforcing the growing divide between the haves and have not.
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Some people don’t get the choice of good loans and bad loans, because of their race or economic background, they can only get more expensive, privately offered loans, which are often variable rates.
The banking system isn’t a level playing field.
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The student debt system is usery, plain and simple. It’s another nail in the coffin toward decimating an educated public that can make informed and knowledgable decisions when it comes to voting for their own interests. Your statement of ignorance makes me think that possibly you missed out on secondary education or perhaps you are a high school drop out. Did you vote for trump too?
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Okay, now what should the middle and lower-middle class do? Not take the loans they are offered? (also known as purchasing a ticket to the lower class, in the US.) But yes, upper middle class borrowers should continue to take advantage to the more favorable loan terms they have earned by choosing the best parents.
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For the scope of this young lady’s case, I would suggest not going to a school which costs $60k a year. Perhaps a local public university? Doing so puts a lot more financial aid options on the table, which maximizes the potential for good loan terms because it’s both cheaper outright, and also you get the resident tuition rates.
ETA: College shouldn’t cost $60k a year. It should be free at state universities. And we should also invest more in trade schools; it’s crazy that the US employment market requires a degree–any degree, even completely unrelated ones–to get any decent entry level job.
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Another option if you don’t have money for college is take a horrible job that nobody wants, like plumbing.
Then, work like a dog in the dirt, dust, heat, cold, and other fun job-site conditions.
Profit!!
(Seriously, kids, stay in school)
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It looks like she did transfer to a public school and was considering a second one when that was proving too expensive:
At this point in my education, after two years of private college (and one in a public university), I had already taken out eight substantial loans totaling over $67,000, whose repayment I hadn’t even begun to contemplate. Knowing how much debt I had already amassed, my father tried to impress upon me the difference between this new loan and all of the others I had already taken out — whose average interest rate meted out to a little under 6 percent — and why this loan would be harder to pay in a sea of already-hard-to-pay debt. I knew racking up one more loan and another $24,000 wasn’t ideal, but what was the alternative? Dropping out? Transferring to a new school and hoping my credits would translate? Leaving all the relationships I had cultivated with students and professors alike behind? So I chose to take the loan. In my final year of college, with my back against the wall, Sallie Mae made me an offer I did not know how to refuse.
The private college may have been a mistake but I can see why she took out that last and most awful loan to do her final year at the public school.
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My son tried college for 1 year and flunked out despite an almost perfect ACT score. In that year he developed extreme depression and mood disorders due to the stress and racked up $25k in student loans which I am currently paying off for him.
He’s much happier now working a 9-5 warehouse job.
College is not right for everyone.
(edited to add: pressuring him to go to college is the worst parenting mistake I’ve ever made. We’re still dealing with the repercussions almost 4 years later. I deeply regret listening to the so-called experts.)
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I think this is important to remember. At the same time, people who want to go to college and are a good fit for it shouldn’t end up deep in debt to pay for it.
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That’s good of you dad, to take on his student loan. You love him very much. However, how long into the warehouse job will he look back and regret what might have been? I agree college is not right for everyone and I am going out on a limb here, but if you can pay off his huge loan, I would steer him in the direction of some kind of trade, or even the arts. Something that truly appeals to him and his interests. I know I would have done that for my boys if I could have in that situation. Fortunately, they took other paths and at this point in time, it appears they have made decent choices.
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