Well, there is nothing stopping a bank for giving out student loans at better interest rates than the feds plan to do. They just won’t be guaranteed by the feds, which will be fine for many students, as their parents can guarantee them.
Well, there is nothing stopping a bank for giving out student loans at better interest rates than the feds plan to do. They just won’t be guaranteed by the feds, which will be fine for many students, as their parents can guarantee them.
I realize there is nothing stopping a bank (yet) from making a loan, but it is a bad sign of more central planning to have our federal government controlling yet another sector of the economy regardless.
As I stated earlier, there may be families that have unemployment, decreased home values (maybe they just bought at the wrong time thru job transfer, etc and home is now worth less than mtg), etc. that will prevent them from obtaining collateralized bank loans.
Hopefully, there will not be new government-imposed stipulations put on banks that choose to make loans—However, in this “transformational” climate, I am not so sure that will be the case....