Student loans
- Thread starter msstate7
- Start date
goldfly
<B>if my thought dreams could be seen</B>
yeah, and what about ever other aspect of anything that people use to do but changed ways
will they be compensated too?
the "people have paid off their loans and it was tough, so should you" is by far the dumbest of the dumb reasons to not do this
sturg33
I
Of course we should punish those who sacrificed and exhibited personal responsibility, while rewarding a bunch of rich white kids with a huge bailout paid for by working class people with no degree
Jaw
It's OVER 5,000!
I just don't see it as a winning issue for him. Most of the people who would be bailed out are from top 20ish percent income families. It would please some twitter bots and teachers of unmarketable degrees. I don't think that's a big enough payoff for the amount of people it would piss off.
acesfull86
Well-known member
50K forgiveness is like using a nuke to kill a mouse.
Biden will have to do something to appease the extreme left that helped get him elected, but I think this particular issue will end up being a compromise as best. Maybe up to 5-10K cancellation to particular borrowers for particular degrees from particular institutions (ie; someone with low income who has undergraduate debt from a state school or historically black university).
sturg33
I
It punishes those who chose to not go to school bc of the cost. It punishes those who had to pay $50k back, while giving $50k to others.
It's not about "having it tough" it's about asking people to pay back their debt they promised to do.
Why not cancel credit card debt? Why not cancel mortgage debt? Why do we focus so heavily on bailing out the useless gender studies graduates?
acesfull86
Well-known member
The money has to come from somewhere...
sturg33
I
Also true but apparently it is all monopoly money anyway. The party of science tells me that deficits aren't a problem
acesfull86
Well-known member
https://www.brookings.edu/blog/up-front/2020/10/09/who-owes-the-most-in-student-loans-new-data-from-the-fed/
Most news stories and reports about student debt cite the fact that Americans owe more than $1.5 trillion. The fact that households in the upper half of the income distribution and those with graduate degrees hold a disproportionate share of that debt almost never makes it into the narrative. But who owes education debt is as important as how much debt there is. Only with this information can we determine who struggles because of their student loans and who is succeeding in the job market because of the education that loans helped them achieve.
The highest-income 40 percent of households (those with incomes above $74,000) owe almost 60 percent of the outstanding education debt and make almost three-quarters of the payments. The lowest-income 40 percent of households hold just under 20 percent of the outstanding debt and make only 10 percent of the payments. It should be no surprise that higher-income households owe more student debt than others. Students from higher-income households are more likely to go to college in the first place. And workers with a college or graduate degree earn substantially more in the labor market than those who never went to college.
What may be more surprising, however, is the difference in payment burdens. A growing share of borrowers participate in income-driven repayment (IDR) plans, which do not require any payments from those whose incomes are too low and limit payments to an affordable share of income for others. And some borrowers are in forbearance or deferment because of financial hardships. As a result, out-of-pocket loan payments are concentrated among high-income households; few low-income households enrolled in IDR are required to make payments.
Likewise, education debt is concentrated in households with high levels of educational attainment. In 2019, the new Fed data show, households with graduate degrees owed 56 percent of the outstanding education debt—an increase from 49 percent in 2016. For context, only 14 percent of adults age 25 or older hold graduate degrees.
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The people holding the lion's share of the debt don't need the help. The ones with less debt who are in the lower income brackets have many options at their disposal to help pay back the debt. And even if we were to cancel the debt for everyone, it would do nothing to address why that debt was accumulated in the first place. I've yet to see one convincing argument why this is a good idea.
Most news stories and reports about student debt cite the fact that Americans owe more than $1.5 trillion. The fact that households in the upper half of the income distribution and those with graduate degrees hold a disproportionate share of that debt almost never makes it into the narrative. But who owes education debt is as important as how much debt there is. Only with this information can we determine who struggles because of their student loans and who is succeeding in the job market because of the education that loans helped them achieve.
The highest-income 40 percent of households (those with incomes above $74,000) owe almost 60 percent of the outstanding education debt and make almost three-quarters of the payments. The lowest-income 40 percent of households hold just under 20 percent of the outstanding debt and make only 10 percent of the payments. It should be no surprise that higher-income households owe more student debt than others. Students from higher-income households are more likely to go to college in the first place. And workers with a college or graduate degree earn substantially more in the labor market than those who never went to college.
What may be more surprising, however, is the difference in payment burdens. A growing share of borrowers participate in income-driven repayment (IDR) plans, which do not require any payments from those whose incomes are too low and limit payments to an affordable share of income for others. And some borrowers are in forbearance or deferment because of financial hardships. As a result, out-of-pocket loan payments are concentrated among high-income households; few low-income households enrolled in IDR are required to make payments.
Likewise, education debt is concentrated in households with high levels of educational attainment. In 2019, the new Fed data show, households with graduate degrees owed 56 percent of the outstanding education debt—an increase from 49 percent in 2016. For context, only 14 percent of adults age 25 or older hold graduate degrees.
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The people holding the lion's share of the debt don't need the help. The ones with less debt who are in the lower income brackets have many options at their disposal to help pay back the debt. And even if we were to cancel the debt for everyone, it would do nothing to address why that debt was accumulated in the first place. I've yet to see one convincing argument why this is a good idea.
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zitothebrave
Connoisseur of Minors
I mean lets keep colleges closed through the pandemic and get rid of a bunch of them. The myth that you need a college degree to do half the jobs out there is the problem.
sturg33
I
Agreed
zitothebrave
Connoisseur of Minors
It's not just that.
The issue is the whole system is rotten to the core. All colleges should be dissolved. Period. They're all rotten. They're all bloated and corrutp and exist to perpetrate a circle of wealth. Unless you're going to school for something that requires a degree, going to college shouldn't be a lead option.
sturg33
I
Agreed again
Jaw
It's OVER 5,000!
Yeah zito pretty much wrapped this one up. For some reason college degrees got pushed like home ownership. We should have a lot more trade schools and almost no grad schools. I know for a fact you can get six figure jobs without a degree. Professional certs are where it's at.
goldfly
<B>if my thought dreams could be seen</B>
none of those are punishments
and the "money has to come from somewhere"
it's canceling a **** ton of bull**** debt for people that took out a loan of whatever, have been paying it down and still somehow owe more than they started with. i really don't give a **** if those lenders get ****ed lol
i agree with zito too
and the "money has to come from somewhere"
it's canceling a **** ton of bull**** debt for people that took out a loan of whatever, have been paying it down and still somehow owe more than they started with. i really don't give a **** if those lenders get ****ed lol
i agree with zito too