Get government out of the business of guaranteeing loans or giving loans.
Allow student debt to be discharged in bankruptcy.
Problem solved.
If they are smart enough to go to college, they are smart enough to research this information before they go to college. The Department of Labor has websites.
Knock it down to 84 months, more biblical.
For student athletes on full scholarships whose only interests are using their universities as a gateway to the NBA or NFL, they should be required to reimburse their university for the entire cost of their education and room and board out of their professional signing contract bonus.
Sorry, but when I went to college, professors made 45K. Now they demand huge money and the administrators make more. And then, they don’t teach how to think critically, they teach politics and bs.
students should reject universities and attend community college, then finish up at a school that can handle advanced courses. And forget this stupid Greek garbage. Also, work and pay as you go.
There’s an even better way. An internship. Work for a company while you go to college for a lower hourly wage, but get a stipend for the months you’re going to class. Then after you graduate, work for that company a year for each year you spent in college at competitive salary. I did that and graduated in four years as an engineer - debt free.
Indentured servants - boy we have come a long way since the 1700s /s
The reason colleges cost more today then they did up until the 1980s or so is because of third party payers.
When the student was responsible for paying for their own education it was possible to work part time, go to school, and pay for books and tuition.
Colleges knew they could only get so much money out each student and so cost were kept low because there was no choice in the matter.
Government guaranteed student loans changed the equation. Now college cost could go up and the government would gurantee payment regardless. It became a wealth transfer scheme between the middle class and the elite.
Now that the fraud of student loan is being exposed they come up with a “new idea”. Hey pilgrim, we will pay your passage to the new world but you will have to work for us for a number of years...indentured servant!
Personally I believe on line colleges will eventually become the main path to a degree. Until then, I will tell anyone young person that ask, stay away from student loans.
Company Store
Sharecropping
Indentured Servitude
There have always been these type of schemes to indebt people for life....
Careful, this is the IRS’s territory and they don’t like competition...
My daughter just graduated from UW Madison debt free by working two part time jobs basically full time for years during and after high school and paid for all of her tuition and rent/food. If there’s a will there’s a way. I call BS on all of these folks deep in debt.
Permit discharge by bankruptcy
Claw back 1/2 the losses from the school that received the money
Ending the H-1B visa program would do more for college graduates prospects than any other thing that has been proposed.
Another issue, many HS graduates shouldn’t even go to college at all. If I could go back in time, I’d become a lineman.(for the County, of course...)
“On a $10,000 ISA, English majors must pay 4.58% of their income for 116 months. Math majors, because they are more likely to get higher-paying jobs, pay just 3.96% for 96 months.”
And a BA in Gender Studies? Because their income will be minimum wage.
+1!!!!!!!!
I have a better idea.
Everyone takes the SAT in March of junior year in high school.
You get <1200 you don’t go to college, you get a job.
This would solve almost all of this problem.
“The college picks the student, so investors don’t have a direct relationship with the student.”
One little problem with that. Colleges are giving priority to races that are not Asian or white. They are not arbiters of merit.
I guess I just did it wrong. Was working for the Sheriff’s department not soon after getting out of the ARMY in 72, attended Junior College and later Angelo State while still working full time. This was all out of pocket, no GI bill. Then my wife went to nursing school and graduated as an RN, again all out of pocket. She’s an RN and I’m just an old oilfield ranch hand who happens to be a Petroleum Engineer. If you want it it’s yours and you don’t have to borrow money to do it, you just have to want it.
I have a better approach:
All of the most expensive universities have HUGE endowments. They should be required to fund all of their own student loans from their own endowments. What better way for them to fund their future by than funding the future of their students? It would probably offer a better return, as well.
You will quickly see them stop funding all of the “Women’s Studies”, “Minority History”, and other such useless degree programs, and fund only the ones that will allow decent jobs and futures for their students. If not....they go bankrupt.