The problem is also one of massive subsidies to middle and upper-middle-class students and their families to fund waste and frivolity for years and years.
It’s not just Worker Joe taking some classes from Phoenix.
It’s not just Worker Joe taking some classes from Phoenix.
Abuse of the system is wide spread at all levels.
Fraud and the rise of diploma mills and pseudo trade schools sucking up student loan dollars is a huge part of the delinquent and unrecoverable student loan debt.
Student loans have always been expensive and somehow previous generations managed to pay the debt off. Even the 1970 , students ended up $30k in debt if they funded their educations primarily via student loans. Obama is trying to bail out the Sub Prime borrowers who took the student loan money and wasted it and also the upper middle to wealthy students who borrowed a quarter million dollars to get a degree in Womyn's Studies, African-American studies, Hispanic Studies, Asian Studies, Queer Theory or other such made up, phony baloney degree from an Ivy League type school.
Bailing out these losers and spongers as Obama proposes will destroy the Student Loan system that for generations has allowed the middle class students whose parents cannot afford to pay for their schooling to get a college eduction.