Posted on 09/17/2023 6:44:54 AM PDT by where's_the_Outrage?
As U.S. President Joe Biden’s stalled student loan forgiveness plan means repayment is set to resume on Oct. 1, a growing number of student loan borrowers are claiming they either cannot or will not pay the debt back.
In fact, an August survey from student and education resource publication Intelligent.com revealed that 62% of respondents said they are considering boycotting loan payments in the fall as almost half of them doubt they will be able to afford those payments.
Twenty-nine-year-old Shahem Mclaurin took to TikTok to ask hard questions about whether borrowers like him should protest what many view as systemic unfairness by refusing to pay back their loans.
“Are we not paying — like collectively, as a whole,” he said in the viral video, “meaning if you put a payment down you are breaking, you’re crossing the line?”
“How are we going to move? Because they can’t keep getting away with this stuff … if we don’t pay, they are the ones who are going to suffer, not us.”
Half of the Intelligent.com survey respondents believe a boycott could lead to total debt forgiveness........
The Education Data initiative also reported that the average federal student loan borrower has $37,338 outstanding, and the average private debt is $54,921 per borrower.......
The government can also withold Social Security benefits, which could impact the finances of the millions of borrowers over the age of 62 who have an average outstanding student debt of $41,778. Also, about 23% of that $1.6 trillion of total debt is held by borrowers over the age of 50.
(Excerpt) Read more at moneywise.com ...
How/does this show on their credit reports?
Government shouldn’t be in the loan business
Whatttaa bunch of whiny entitled deadbeat wussies.......Try paying off loans in 1980-82 in the teeth of a recession and rates were 9-12%. Took 3 jobs and living within means but was done. After that wife and I vowed never again....PAid off house ahead of time, cash payment or pay off credit card that month...Debt free...
“if we don’t pay, they are the ones who are going to suffer, not us..”
Wanna bet?
L
If it was a useful degree, then the student has every incentive to come up with a payment plan to keep the degree. If not, then maybe the institution deserves to take the loss for peddling a worthless product.
They’ve already learned that they can make debt-forgiveness a political issue (and be taken seriously). Why not keep the pressure up? This is 21st century Western Civilization where we just print more money in lieu of demanding responsibility.
You signed a contract, live up to it or face the consequences.
Wage garnishment can be lots of fun!
In my opinion student loans should be made eligible for discharge in bankruptcy court a certain number of years(12?) after leaving school.
I was expecting this. Say you went to someplace
Midrange, like my alma mater, Santa Clara. I think it’s around 60k per year now. These people, who’ve been told countless times that having to have someone else pay your debts is some sort of sacred right, are just going to start voluntarily paying perhaps a little over $2k per month? The idea that would actually happen is laughable on its face
Interesting.
When one reneges on a car payment, the loan owners can take the car back - thereby receiving some value.
But, given that most of the “eddikashun” that these student loan borrowers received, there is absolutely nothing of value that they got in the first place. What’s to take back? Wokeness? DEI? Absolute stupidity?
Regardless the system is so corrupted why continue any kind of participation including paying bills?
I limit my participation in things probably not enough need to pull the plug on Satellite Radio, Cable etc. they feed the monsters like Sports.
Bow Down To Deion.
My moral values are clear they even include the Seventh Tradition of AA “self-sustaining through our own contributions”
Obviously people are living disastrous lives including financially disastrous lives.
If we can help people manage their financial issues great.
They need to figure out their “moral responsibility”.
Pay your bills, deadbeats.
Government shouldn’t be in the loan business
As someone who took out student loans, watched them more than double due to interest rates, and repaid those loans, I disagree. I made an agreement, I kept my word. The Government RETROACTIVELY changed the agreement to charge and compounded my interest while I was still training. They didn’t keep an agreement. I still paid my loans.
Student loan and interest should be TAX DEDUCTIBLE. The government gets its money back every year that a person supports themselves and isn’t on welfare (80+k a year taxpayer cost). That would make it profitable from a government status, and incentivize the education/production. After that, garnish all wages to below welfare status for people who are non-payers. I am fairly certain this would fix it.
Don’t they know the government can garnish wages? They will take the payments out of every single check.
Ask the schools for your money back.
Government provided loan guarntees, private lenders provided loans on which because of the guarantees they made money, and the unversities jacked up their prices, and these were loans not dischargeable in bankruptcy.
Was the borrower stupid and irrespnsible? Sure. But so were all the other participants in this market.
The US credit bubble had to start cracking somewhere. Here it is. The Austrian school of economics would have predicted the whole thing.
Excess credit leads to mal-investment leads to default or runaway inflation and collapse of the currency.
Part of the problem is that most college advisers are stone-cold liars. Let’s say a student wants to major in French history. There’s nothing you can do with such a degree. Way, way better if that kid learns a trade instead.
Ah, but the history department will disagree. They need the students. So they will tell a naive 18-year-old all sorts of lies about how valuable that degree is.
Yes, an 18-year-old is an adult, and must do his own due diligence. He is ultimately responsible for his own actions. But the colleges must get some of the blame. That’s why I’d like to see them have some sort of co-signer responsibility.
Or at least they should be forced to be honest about every degree they offer. That sure isn’t happening now.
One of the selling points of Obamacare was that student loans would be used to finance health insurance subsidies. 1.6 trillion dollar student loan debt later, it doesn’t seem to be working out for anybody. Recall that insane McCain defeated the attempt to repeal Obamacare just to deny Trump a victory.
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