If we're going to be forgiving loans, we shouldn't be giving them out in the first place. Otherwise, we're going to be in the same spot in one generation's time.
Wait until you hear about the upward wealth redistribution through COVID loans...
U.S. forgives 40k student loans
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Re: U.S. forgives 40k student loans
#22If we're going to be forgiving loans, we shouldn't be giving them out in the first place. Otherwise, we're going to be in the same spot in one generation's time.
Are you complaining about the massive amount of not-really-loans given to small and not small during COVID?
Right? You're vociferously complaining about that frequent game played by corporations with outsized lobbying abilities to get loans that aren't really ever expected to be paid? How much was that in the grand scheme of printing money by the fed, a billion?
Or are you angry about little poor people getting a pittance of money in the grand scheme of things?
It is so strange how much people shrug off corporate handouts, but get up in arms when poor folks get a pittance from the government.
Edit: my tone was a bit harsh, probably because I get this knee jerk reaction.
It's probably because corporations are like gods. You can't kill them. They are omnipresent. With data hoovering, they are some form of omniscient. They are tireless, sleepless, don't require air, water, or food. The modern way to kill a corporation is probably so serpentine that it puts the best D&D plot to kill a god to shame. They don't technically have a physical body. They have servants, followers, a clergy, and power. They can cast "summon army of retainer lawyers" and send you to hell.
Who are we to question if the god of money hands the god of cars magic printed-but-never-actually-printed numbers that aren't based in something?
Re: U.S. forgives 40k student loans
#23If we're going to be forgiving loans, we shouldn't be giving them out in the first place. Otherwise, we're going to be in the same spot in one generation's time.
Is not giving out loans at all necessarily better? Stop giving out loans, and higher education becomes even more elitist and out of reach.
Or higher education institutions will consider if they really need the ever-growing bubble of useless administrators who empty their coffers.
Re: U.S. forgives 40k student loans
#24Can Biden forgive my mortgage while he's at it? Why should I be in debt for 30 years, it's very inconvenient. Not everyone has the money to get a fancy university education, even with loans and other financial assistance, so we should be cancelling debt across the board. We should nationalize the banks and print money until all the debt is gone. Or it's racist.
Why didn't they think of that?
Re: U.S. forgives 40k student loans
#25If we're going to be forgiving loans, we shouldn't be giving them out in the first place. Otherwise, we're going to be in the same spot in one generation's time.
Just stop guaranteeing them, let students default on them. All these guaranteed loans that can't be discharged allows academic institutions to ratchet up the price. Let them calculate risk and price them accordingly.
This is the correct answer
Re: U.S. forgives 40k student loans
#26I know every European seems to ask this of every American but what is the resistance to a welfare state? if you look at a government as investing in its citizens like a VC fund, then providing education and medical care is sensible, and some will turn out fine and others will be Bezos and then you can get your investment back via tax.
I am honestly trying to avoid the flame war here - but I do it know how else to frame the question?
Re: U.S. forgives 40k student loans
#27Please, please, please take note before commenting: These are being forgiven under the Public Service Loan Forgiveness program, created in 2007 (fifteen years ago), which eliminates your remaining debt after you've made ten years of payments while working in the public sector (government or non-profit). This has nothing to do with current debates around loan forgiveness.
Re: U.S. forgives 40k student loans
#28> At least 40,000 borrowers will receive immediate debt cancellation under the Public Service Loan Forgiveness (PSLF) Program. How is this news?
It's news in that they're actually unblocking programs which actually had been long legislatively approved paths for forgiveness and were already supposed to have been operating to this end for years.
It's not news in that these are not new categories of, nor expansions of previous commitments to student loan forgiveness.
When you look at the overall stats of student loans, a increasing number of them (a majority!) look like they will be never paid off over their lifetime, and we are still in a situation where if an individual has a small loan problem it's the responsibility of an individual. But if an entire class or multiple-generations (or a big enough individual loan), has problems, then it's a problem for the bank - in this case the US gov't and an even bigger problem of our overall society and providing an sustainable economically competitive skilled labor pool.
Re: U.S. forgives 40k student loans
#29You might wonder whether it's actually regressive for people who have college degrees (or who at least attempted to get one) -- overwhelmingly not the neediest people in our society, even if I do sympathize with how terrible our student loan system is -- to be targeted for help from the government!
Re: U.S. forgives 40k student loans
#30Yup we live in a clown world now.
What’s next, forgiving all the student loans?
Does no one think of the consequences of these kinds of actions?