To: LostInBayport
Political reality is that some bailout is inevitable. A partial bailout in return for getting the government out of the loan business completely would be a bargain.
Logical Six Point solution to the student loan crisis:
- Write off 25%. This is a necessary concession to the debtors who, in many cases, were duped into taking out loans they couldn't afford.
- Return 75% to the institutions of origin for collection.
- Institutes get to keep 5% of the 75% for their trouble but must remit the 70% back to the government.
- They are free to hold up transcripts, cancel degrees and employ all the other measures they did to collect against the debtors as when they were students.
- If the institutions still cannot pay back the government within the normal loan times, the government is free to attach their endowments, real estate and other assets.
- Government gets completely out of the loan business and encourages the institutions to line up their own lenders. If a tiny college like Hillsdale (Michigan) can do it, then there is no reason anyone else can't do the same.
Yes, the taxpayer takes a 30% hit up front to liquidate this crisis, but that is far better than continuing to grow this monster.
8 posted on
08/12/2016 8:42:25 AM PDT by
Vigilanteman
(ObaMao: Fake America, Fake Messiah, Fake Black man. How many fakes can you fit into one Zer0?)
To: Vigilanteman
Whenever there is a middleman; the price of the product will ALWAYS go up!
66 posted on
08/14/2016 3:45:21 PM PDT by
Elsie
(Heck is where people, who don't believe in Gosh, think they are not going...)
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