Posted on 05/20/2022 11:11:51 AM PDT by karpov
In recent weeks, the tumult in Washington has largely centered on the issue of student loans. Almost every Democrat and left-leaning pundit has come out in favor of some degree of relief for those who have amassed debts to pay for college. Rep. Ro Khanna (D-CA) for example, penned a Washington Post opinion piece with the exhortative title, “President Biden, it’s time to cancel student debt.”
What he wants the President to do is to forgive students of their payment obligations under their federal student loan contracts. It’s highly questionable whether the President has the legal authority to unilaterally forgive student debts, but let’s put aside that problem.
I’m going to argue that Congress should do something it unquestionably has the power to do, namely to repeal a statute. The statute is the Higher Education Act (HEA) of 1965, one of the many laws passed by a giddy Congress at the behest of President Lyndon Johnson. Johnson had a host of ideas for improving America through federal money and regulation—his “Great Society”—and government meddling in education was at the top of his list. Title IV of the Act created the federal student loan program.
The first question that ought to have been raised is whether the HEA was constitutional. Nothing in the Constitution authorizes Congress to legislate with respect to education. Article I, Section 8 sets forth the powers of Congress and education is not included. Education was among the great number of subjects that the Founders thought belonged to “the States or the people respectively” as the Tenth Amendment reads.
Nor does the Constitution anywhere authorize Congress (or the President) to lend money to college students—or to any other group.
(Excerpt) Read more at aier.org ...
There needs to be a correction to run away college costs. They are turning out way too many graduates with useless degrees.
I bet tuition comes way down too, if the colleges end up being on the hook for the student not paying back the loans.
If there is to be any forgiveness or relief to former college students weighed down by loan debt it should NOT come from tax payers but by the colleges that exploited the loan program by overcharging.
Why the heck is the gov in the college tuition business anyway?
Oh yeah, to let the PRCs steal all our intellectual property!
To groom young adults into communism!
To groom young adults into gender dysphoria if K-12 hasn’t gotten THEY yet!
To teach young snowflake whites that they are the foundation of evil, IF WHITE!
Did I leave anything out?
Ok
Can everyone please look at this please
Obama took over college loans in 2009
Now it’s “federal student loan” racket
Tuition goes up the way military industry corps went way up. Famously in the 1990s wrenches and toilet seat covers were hundreds
Now tuition is growing exponentially higher than the rate of inflation
The 17 year olds signing those motes are going along with the program
People blame them
That’s stupid
They’re not going to not go to school just because Obama turned their deans and profs into willing participants in a money laundering operation that makes the 40 b Ukr money laundering operation look like a mom and pop shop. It’s billions
Parents allowed this
Deans are making 3-5 million per year
The S loan industry is so overinflated they don’t ever expect to recover that borrowed money
But debt does not go away. We pay
But stop blaming the kids
They’ve been taken advantage of by Obama and co.
Yes, the government has no business subsidizing “private” colleges by guaranteeing loans. All they are doing is driving tuitions up, encouraging people to take on more debt, and reducing the quality control of the institutions.
Let’s take the loans out of the hands of the government and back into the hands of our banking system. That’s where the problem lies. The government has no business in being in the student loan business.
I’m OK with forgiving student loans, as long as it’s the colleges that pay. As long as that’s part of cancelling the program.
Schools are sitting on billions. They can afford to finance their students
Ping
Super advanced basket weaving phd will no longer be offered
The schools don’t even have to “finance” them, in the standard sense of the word. No money has to change hands, because the school is just accepting delayed payment for services.
Make the schools provide “buy now, pay later” terms for students. The schools will have to evaluate the students’ ability to repay, based on the students’ credit and their anticipated earnings from the education they will get. And students MUST be allowed to wipe out school debts through bankruptcy (they can’t presently). This will give the schools some skin in the game.
This will mean goodbye to a lot of programs whose names end in “studies”.
Of course, a student could raise his own (private) financing or pay in cash.
The colleges have already been paid, hence the need for the loan.
If you got rid of guaranteed student loans, you would see college prices fall immediately...
Every single school knows that ever single student has the ability to get $XXX of dollars in loans no matter what... this creates an artificial floor.... why would any college ever charge less than $XXX?
NO, move to private sector is the answer.
“But stop blaming the kids.”
All the other grifters that you identified and run the racket aside ... do you mean “the kids” have no responsibility (0%) here?
Nothing but a ponzi scheme to enrich universities and banks!!!!
exactly!!!!
“As long as that’s part of cancelling the program.”
As long as that’s the only way to cancel the debt.
Yes, we’ll do a leftist here. The “rich colleges” (millions to billions in endowments) will help the “less fortunate” colleges and be taxed so that less fortunate schools can then cancel the debt of their “poor students”. And the rich schools will also be required to cancel a certain percentage of the debt of their own students, whether they graduabated or not. The students for debt relief will chosen by lottery. And if they had paid off their loan, they get to enter the lottery because it is only fair. Then ... all classes will be published on line and open to the public without any qualification (testing, application, etc) to attend at no cost. All the person has to do is identify for educational asylum - no questions asked. Running this thing like our progressive tax system and southern border is something the leftists will jump on, ... right?
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