31–40 of 221 posts
WHY do we need this never ending whirlpool of sophisticated financial schemes to take care of this problem?
We're asking the wrong questions. A full semester at my local community college is under $1000. Extrapolating to four years of undergrad education, that's $8,000 total. WHY do we need this never ending whirlpool of sophisticated financial schemes to take care of this problem?
Earlier quoted context omitted.
Because when the loan is forgiven after 20 years it looks like income. So you have to pay tax on your forgiven loan. If Lambda School can’t teach you well enough that you get and keep a good paying job then they take the loss not the tax payer. Also: advocating for keeping the old system by saying this new way is not different is the least Hacker News things I’ve ever heard. The student loan crisis is an existential…
>they just lure students to the school helping them fill out student aid and loans and then give them subpar educations with curriculum being taught like it has been for years but they don’t care to change or innovate because the school has already been paid by an entity — the US education department who has deep pockets. Total tuition loans outstanding is around $1.5T. Total US Education Dept annual budget, 70B. Med…
Not necessarily. Private banks issuing federally-backed student loans want you to default, because then they double their money. See here: http://www.collegescholarships.org/research/student-loans/
How is this different from income-based repayment of federal student loans? While there are different programs, the general idea is that you pay 10% of your "discretionary" income for 20 years with the guarantee that your payments aren't higher than the 10-year payoff rate. The article doesn't really have information on the Purdue system other than saying that it might cost high-earning students 250% of the price of…
As far as less profitable majors or high risk individuals, they can remain in the traditional system and pay up front. You don't have to totally scrap everything else. If you truly want to study Russian literature that's fine, stay in a traditional system, but don't force the rest of us to accept it just because you want to be a special butterfly edge case. We should not be catering to those types. Eliminate guaranteed federal loans and the price of those majors would come way down anyways. If you truly want to preserve some niche program, some strategic investments on the schools part could set up something that returns enough money to allow a handfull of true scholars who do well but are too poor to pay up front still attend and get their niche major.
You may even see the emergence of a school that has radical teaching methods that turn high risk students into earners. Probably a system you can't even fathom yet which involves some level of psychology and counseling along with your education to get you to the finish line.
Earlier quoted context omitted.
But then such schools that predominantly work on ISAs, will pre-select for good students, who are most likely to succeed and also for industries where the compensation is higher. Remainder (which is arguably 90%+) of the students will still be at the mercy of other schools + taxpayer. It seems, this just provides one more payment option to students who are likely to succeed anyway and a refreshing business model for…
> But then such schools that predominantly work on ISAs, will pre-select for good students, who are most likely to succeed and also for industries where the compensation is higher. That still sounds far better than the current system of selecting for the most popular (instead of valuable) subjects that draw in the most clueless students to get indebted for life for something they are unlikely to succeed in anyway. >…
The government never had to be involved with financing higher education to begin with.
We're asking the wrong questions. A full semester at my local community college is under $1000. Extrapolating to four years of undergrad education, that's $8,000 total. WHY do we need this never ending whirlpool of sophisticated financial schemes to take care of this problem?
What school is that? That’s very low.