Washington Proposes $1 Trillion Bailout for Delinquent Student Loans

Breitbart ^

[chessplayer]

A possible $1 trillion bailout is coming—and soon.

America’s now-nationalized student loan industry just reached a value of $1 trillion, according to Citigroup, growing at a 20 percent-per-year pace. Since President Obama nationalized the industry (a tacked-on provision of the Obamacare bill), tuition has gone up 25 percent and the three-year default rate is at a record 13.4 percent.

[EBH]

The problem is ...at this point, it is not just 0bama. It is all those people who voted for him too.

[ArrogantBustard]

It’s certainly the case that 0bama has his enablers, including approximately half of folks who could be bothered to get off their ass and vote. (Yes, I know about the vote fraud.) Still, I think it’s a matter of motivation. I think the average 0bama voter’s motivation is “I or someone I care about is gonna get free stuff and stick it to the man.” That’s a bit different from, and less foresighted than, 0bama’s clear malicious desire to destroy America.

[massmike]

WASHINGTON PROPOSES $1 TRILLION BAILOUT FOR DELINQUENT STUDENT LOANS

"...But,Dude....how else can I pay off my loans?"

[MrB]

They can’t do it forever,
and the piper has invoiced.

[C210N]

I’m with you...

The agenda now, more blatant that ever, is to cloward-piven-like collapse the US. This regime just wants to spend and cares not a whit as to where that money comes from. The more they spend, the quicker the collapse. Case in point is their desire to remove the debt ceiling. Case in point is to tax more now, reduce spending “later”. And, if one is to connect some dots not yet connected into the future: We are going to find out just what all those govt requisitions over the past couple of years of hollow point bullets...

[PapaBear3625]

tuition has gone up 25 percent and the three-year default rate is at a record 13.4 percent.

1) Make student loans dischargeable in bankruptcy.

2) Require the college to be on the hook for at least part of the liability for bad loans.

Overnight, college will stop accepting unqualified students, and offering majors for which there are few job openings.

[Fletcher J]

You paid yours off? Well, I hope you’ve learned your lesson that hard work and responsibility are now punished in this country. We reward those with their hands out. ;)

I paid mine off my student loan years ago also. I borrowed $850 my first semester, and the paperwork was such a hassle I never did it again. This was in the 80’s, before the federal government got involved to help students, so if you went to a reasonably priced public university, you could pay as you went with a part time job during school and full time in the summers.

Now my kids have to put together a motley assortment of loan packages and scholarship to do what I did with some part-time jobs.

[DuncanWaring]

I'm convinced that 0bama's goal is to reduce America to a pathetic, miserable third-world hellhole ...

A lot of us were saying that before the election four years ago.

[Dr. Sivana]

If a law could be passed that would force the university who accepted the defaulting student to swallow one-half of the default on every student loan, I believe that the government-university complex/cabal would soon be over.

Can't do that ... ex post facto law, full faith and credit etc.

I understand that if you make it a "stupid loan tax", it should pass muster.

[muawiyah]

http://www.businessinsider.com/citi-just-pay-your-student-loans-because-theyre-good-for-you-and-theyre-good-for-us-2012-5 ~ I think this article is a bit closer to the original citi language than Breitbart, or Fox, or other commentary.

[JZoback]

——There will be a minimum melanin threshold to meet if you’re going to get a handout.——

O’ noes.... I’m SOL.....white, middle-class, church going heterosexual married male who owns guns...

[tacticalogic]

Their calendar doesn’t go past the next election.

[traditional1]

Another payoff to the faltering Banking buddies, who loaned to un-Qualified buyers, so they could spend more money on tattoo's, in Casino's, cars, etc.

This disguised reparation crap is WAY too old......

[MrB]

white, middle-class, church going heterosexual married male who owns guns

The very description of their "enemies".

[Red Dog #1]

Nationalize college endowment funds!!!

[Dr. Sivana]

That is why they are “Federally guaranteed” student loans. In 1988, when I was 18, I signed a loan document for $6,500 despite having no credit history, no job, and no plan for paying it back.

Parents would co-sign a loan if the incoming student is nder 18. Also, there are several student loan programs, some of which can involve parents. Besides the Stafford and Perkins loans (NDSL/GSL), there were also PLUS and ALAS. There may be equivalents today.

[reefdiver]

Another TRILLION!!! This needs a quick McConnell burst of laughing.

What the heck is going on in Washington?

[ArrogantBustard]

A lot of us were saying that before the election four years ago.

Yeah ...

Apparently, a lot of folks haven't heard us saying it. I, at least, am not tired of saying it. I will continue to say it as long as Bath-house Barry Benghazi is part of "current events", and I'll switch to the past tense when Barry Odinga the Magic Kenyan becomes part of "history".

But that's just me ...

[Mamzelle]

re: 2) Require the college to be on the hook for at least part of the liability for bad loans.)))

YES YES YES. And, to make that fantasy even more delightful, let's hold those slacker professors responsible, too, for teaching rotbrained nonsense.

Seriesly.

[CORedneck]

IMHO, one idea to reduce college cost is to reduce administrative costs. The college I went to had like at least 5 VP’s. Pretty ridiculous too.