With no DOE employees to process defaults?
Nobody should be paying a red cent.
If your choice is draining your entire bank account to the point you can’t afford to live or suffering a credit score penalty, then the credit score should be sacrificed.
“but they can…”
Stop. Nothing they can do is worse than starving. Don’t pay them. Use your money for your own needs.
I wish more people understood no one can stop you if there is no one to stop you.
I wish Trump didn’t understand that.
he seems not to.
“I could stand in the middle of Fifth Avenue and shoot somebody, and I wouldn’t lose any voters”
– Trump, 2016
In retrospect he understood all too well, and figured it out way earlier than most.
Try getting an apartment or renewing a lease with a truly shit credit score.
Oops, you don’t qualify anymore, anywhere, your options are now homelessness, much more expensive hopping between motels every 3 weeks, or live in your car, hope you’re still making those payments.
Fairly difficult to cost-effectively cook and store food when you’re in any of those situations.
Oh hey it’s the same corporate troll line again cool
Oh, excuse me for being crippled from a mugging and then having all my bank and id cards and phone stolen and then spending a year homeless and another year bouncing from motel to motel while trying to replace my id and unfuck my credit score with 3 bureaus without a permanent address and with a broken arm and wrist and leg, whilst also being unable to afford any medical treatment.
Yep, total corporate shill over here, totally not barely alive, only thanks to barely being able to keep my details current with social security so I could at least get disability payments.
Go fuck yourself buddy, I hope what happened to me happens to you.
Dude that sucks, but student loans didn’t cause that.
Doesn’t that sort of depend on your loan, though? Like if you have one that’s serviced by a loan provider, doesn’t that provider deal with it if you default?
Or is it that the provider requires the DOE to process the default?Only one way to find out.
Could you explain to non-Americans what is the appeal of student loans if they can do this? Why shouldn’t people go to cheaper schools to get their degrees instead? I mean no disrespect, if you are rich go to Yale or whatever, by all means.
There are no cheaper schools. There are expensive ones and more expensive ones. There is literally no option for the non-rich except to go into debt or learn to be a plumber.
learning a trade should be more encouraged, you can make a shit ton of money (relatively) without the debt
True, but that isn’t an option for everyone and we still need scientists and doctors and such.
oh i know but college shouldn’t be the default. i work in elementary and they have college posters up in the halls.
Lots of trade schools are charging 10-20k/year and expecting 2 years of you…trades are great but we’re using student loans for them too depending on where you are*
*large cities tend to have better cheaper options like community college and there at least was some small federal schools that didn’t require loans. But not all areas have equal coverage here and you often get price gouged if you aren’t from that very specific city/town the community college is in. Tl;dr hopefully you live in an area with good resources which is not even remotely guaranteed.
Children are told that they MUST go to college to get a stable and high paying job. This is so prevalent that college degrees are just seen as “the next step after high school” and nobody questions it. These colleges have figured out they can charge almost anything because they are seen as the gate keepers to high paying and stable jobs. So banking on future earnings, bearly emancipated teenagers, with the absolute minimum of a financial education, make life decisions that will put them in debt for the next 20-30 years.
The problem with the whole system is there doesn’t appear to be enough high paying and stable jobs.
As far as going to a cheaper college, I think you identified the issue in your very own comment. Schools have different prestige levels. Yale, for example, is a high prestige school and not only are you paying for an education, you are also paying to connect to rich people. These connections can be worth a lot of money if they are used correctly. So going to a cheaper college also means less valuable connections.
Even beyond connections, just the sticker on a resumé that says “<prestige school name>” means you’re less likely to get shunted into the shitter with 95% of other applicants, if you don’t already have an “in” that cuts past the resumé stage.
Is this an intuition, or is it a known fact? Why would people do this? Do universities teach people to discriminate this way? Where do employers get these ideas? Is it something that permeates the whole society, or is it focused to applicant selection? Sorry for the many questions, I appreciate your response.
As a Millennial (and now an adult), I will preface that I’m out of touch with the youths, so I don’t know their perspective on colleges now. But it is common societal idea in the US. No company will openly put out notice that they are discriminating but the prestige US schools are more rigorous in their application screening and get more money, and so are expected to have more rigorous curricula/standards and better teaching. It has shifted so that non-Ivy League schools were becoming recognized in their fields for various subjects. But that just adds them to the “Prestige” category for those in the know.
When people look at a resume, it’s sorted into “Prestige” and every other university. And prestige will take your further.
Hilariously, as America progresses further into the dark ages, these “prestige” schools are increasingly becoming known for being degree mills who will sell a degree to any idiot with fat enough pockets to ask for one. Take the Trumps’ history at Wharton for instance.
It probably always was. It’s just that before rich people used to think being intelligent was a thing worth pursuing. The idea that you needed to be well-read and experienced to lead people.
UBI is a much better policy that “subsidizing loans just for college”. It helps all young people more than old, letting them choose a future that is best for them, while stiill making college an affordable choice. It makes college pricing more competitive, instead of trapping people too young and foolish into a path they can’t know enough to be a trap.
That’s one of only good things about Florida. The colleges on average are significantly cheaper than anywhere else, and Florida is still ranked number 1 on US News for college education when looking at every single college combined.
So basically get a good affordable education and then move the fuck out of Florida.
So, basically, as a regular (not rich) young person, you are aiming for a higher chance to connect with rich people in order to get a job/business that will probably get you enough money to cash on the “investment” made by getting an otherwise potentially for-life debt? Huh, rings a bell here. Thank you.
I went to a really cheap school. My master’s was 40k.
40k? In USD or in Warhammer? Cause that’s a shite ton of money for college.
What did you study btw?
Also, I am great full to live in a shit hole country right now given that bill
40kUSD is nothing compared to some STEM degrees - especially at the masters level. PhDs can often be funded and not cost the student though (only in lost time…and mental health…)
Social work. And it’s laughable considering that social workers and mental health professionals generally don’t make a lot of money. I have no regrets getting it, just wish it was cheaper.
My bachelor was around 12k and if I did it faster it could have been cheaper. Wgu does it based on term not credit hour. The more courses you pass in a term the cheaper it is overall.
There was literally no way for my master’s to cost less, so I am not sure what your point is. It’s a minimum 2-year program. It’s how it’s designed. Not all degrees are like that, but in my case I paid the least amount possible already.
Letting you know there are cheaper schools depending on your degree
Literally picked the cheapest school I could find for my degree. Again, not sure what I could have done differently here.
Same as in the UK I imagine. No university is affordable. Unless you are rich, you can’t go without a loan.
there are no cheap schools in the US.
See my response to another comment about wgu
Oh, see - due to the lack of investment in education, the normalization of ever-increasing tuition rates, and the social/economic stratification of U.S. society there isn’t really a thing such as a ‘cheaper’ school.
My local commuter college wanted $25k a year for their masters program over a decade ago - and that’s after obtaining a 4 year degree. (Which I obtained through a combination of community college and undergrad classes at the same university, but not without incurring about $20k worth of debt for the previous 4 years.)
Add to that, the U.S. doesn’t have the economy or social supports. You either earn a living wage, find something workable through familial support, or go hungry. The U.S., mandates that companies pay less than half of what is needed to support one’s self.
This isn’t like, poor planning, or governmental stupidity. This is actually on purpose by conservatives in the U.S. government. (Sorry, that site is kinda weird, but it has the quote I was looking for.)
Nevermind that an educated populous is a matter of national defense/national security and having the brainpower to propel the country forward is one of the ways that the U.S. dominated on the world stage in the latter half of the last century. (In addition to timely and fortuitous control of a lot of resources, and a shitload of foreign meddling - lets be real here.) But whatevz, who needs that when the voters disagree with you? The people who set this in motion will be dead by the time the people that are going to be utterly fucked by that figure it out. (perhaps slowed in that realization by their faulty education. Hah.).There are no such thing as cheaper schools. They got rid of that because they were angry college students protested the Vietnam War. So now getting an education means doing business with the worst loan shark you’ve ever heard of, legally protected from bankruptcy. The thing you have to understand about America is that everything is a scam. Like healthcare or housing or a child care and a bunch of other things I’m not even thinking about
Can’t recall an education
SLABs will tank, someone’s collateral gonna get busted
SLAB?
Student Loan Asset-Backed Securities
Basically, people can buy the rights to your loan payments. Maybe they get packaged together with many others’ debts.
SLABSs are quite profitable, obviously. During COVID years there was a freeze on debt payments and holders of SLABS started to feel the squeeze. SLABSs are such a guaranteed return that people/banks/hedge funds can use them as collateral for loans and stuff. So during COVID, SLABSs became a liability. Or so it’s been speculated
If people start defaulting on their debts, SLABSs could be centrally involved in a financial collapse, the first domino to start chain reaction of margin calls
It says “Trump’s changes to income-driven repayment plans.”
I don’t get it - aren’t student loans fixed amounts, with monthly payments calculated to pay off the loan after a certain amount of time? How can they just raise the payments?
Not much detail in the article but it does mention Biden’s student debt forgiveness plan being blocked and Trump pausing applications for some income-dependent payment thing. Are we seeing people whose payments would have been reduced by either of those suddenly not having them available anymore?
Crashing the economy is the point, isn’t it. Every crash the richest few scoop up the assets and the peasants (most of Americans) settle for working for whatever scraps they can manage.
Just don’t pay. Debt-strikes are far more damaging than a work-stoppage.
It’s most likely that people won’t have a choice. Many people, anyway, from what I understand of USian wages and cost of living.
I’m not talking about rent, I’m talking about the massive credit card and loan debt that has propped up millions of folks trying to live a lifestyle they can’t really afford. In the US, it’s incredibly common for folks to just take on debt for stupid shit, like a jacked up truck they only ever use to drive to the grocery store.
this is the 6th time in the past 2 days i see this argument. blaming the people for using the system that has been forced on us over the past 20 years to bolster GDP.
i smell an attempted narrative change.
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this is a bit bigger than joe smoe overspending on his credit cards.
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it’s not just america. the entire west had to switch from the keynesian system to the friedman system after america and the uk’s pinochet experiment. unfortunately friedmans system doesn’t work if everyone does it; and the patch is currently to take advantage of the poor as new loan takers are born every day and it’s currently the only way to inject more cash into the economy.
Lol, okay buddy.
i mean, if your not astroturfing then don’t spread disinformation?
It’s not disinformation. Those jackasses with $70k trucks aren’t paying cash. The folks living in McMansions aren’t paying cash either. Tons of folks in the US live beyond their means and simply take on debt to finance it.
Accusing everyone who raises a point you don’t like of “astroturfing” only makes you look like a paranoid jackass. Now, kindly, do fuck off.
when we (capitalist nations) stopped taxing the rich; it already started going south in the 90ies with the housing crisis and some radical adjustments that had been made to rights of business and the rich vs workers, and they had to find a way to keep re-injecting money into the economy now that infinite growth had come to a crawl because friedmans experiment in chile turned out to not actually work long-term. it’s part of the reason why we had the bank crisis in 2008, and the UK was actually the cause of it, but iceland became the fall guy. they were lending out money that didn’t exist, and the money you paid back was taken as profits. after the crisis, they had to figured out a new way to do it as they couldn’t increase taxes on the rich (thanks reagan), and the new way was by lowering rates, dismantling social housing and similar services, etc. while artificially increasing house costs etc. this way - not only are there no affordable housing; but you are socially encouraged to take loans that you can’t afford. so all these now socially acceptable burdens like house loans, car loans, school loans, etc. have been created solely to keep GDP going up and to re-inject money into the economy now that the rich gets to act like black holes sucking everything up from everyone else.
so, sure, it’s the poors fault that friedman economics put in action by reagan didn’t actually work and they had to patch it by forcing the underclass (new suckers born every day who are eventually forced to take a loan and re-inject into the economy) in an infinite growth economy with finite resources.
$5000? …A month? A sudden rate increase 10 times the agreed amount? This smells like rage bait. We are not in post-World War I, Germany, yet.
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My partner was eligible for ~$750 per month repayments under a Biden era plan that Trump scrapped. They now have to pay ~$4300 per month. The headline isn’t far off.
I worked hard so I didn’t have to take loans. I never had much pity for people who did take them. They were obviously predatory and the math never checked out. Any amount of cursory research on it would have shown that. They took those loans, didn’t have a plan to pay them back and have begged politicians to spend my tax money on bailing them out.
Middle class America doesn’t need to be bailing out someone who graduated from a four year degree. They’re not any more deserving of the money just because they’re gullible or ignorant at best.
such lazy bait.
Such lazy students.
Ok boomer. Now get back in your recliner. Wheel of Fortune will be on in just a minute…
Man, why do losers always have anime pfps? Is that supposed to be some shitty OC or something?
waterfoul? more like what-a-fool
4 days old.
Bye, foul water!
Congratulations you were the smartest 17 year old on earth here’s a fucking cookie go masturbate or whatever
How long ago was this? Which state? Which degree?
btw account is 4 days old, might be a troll
In glad you don’t have loans. Some people are not able to get higher education without loans due to a variety of factors. I don’t know why you’re comfortable calling what are likely teenagers gullible or ignorant when the loans are predatory by nature, and are likely handling their very first “adult” purchase.
Education should not only be accessible to the wealthy. Middle class America has bailed out the banks, companies “too big” to fail, even other countries. Middle class America paid for PPP loans and forgiveness. We have bailed out billionaires over and over, but college is crossing the line?
I want my taxes to pay for education. And not just education that “makes sense.” I want to pay for one kid’s gender studies with a minor in dead languages, as well as the kid going for oncology. I don’t want anyone to question getting an education because of the price. An educated society is an investment for everyone. The American people are deserving of the taxes that they pay into.
I think we should go much further: Being educated should be a JOB. We pay the students, so that they focus on learning. Provided this grade-based income is less than a “real” job, they will naturally migrate into the workforce.
This will undoubtedly require a major rethinking on what an economy is, how it works, and why it should exist in the first place. But I think we are close to American Capitalism being milked dead, so we should start thinking of new approaches for whatever is to come after the fall.
That’s an awesome idea! It would make it so much easier for people.
middle class america
You mean above the poverty line?
