Posted on 11/17/2019 4:59:54 AM PST by karpov
...
Student loans are a growing fact of American life, topping $1.6 trillion in outstanding balances this year. Loans can be valuable — if students are able to pay them back. But every year, one million people default on their student loans for the first time. Often, it’s because they didn’t graduate, and so lacked the diploma needed to get a well-paying job. Last year, 231 four-year colleges graduated less than 25 percent of their first-time-in-college, full-time students within eight years of enrollment. An additional 615 colleges reported rates below 50 percent.
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The proposed new version of the Higher Education Act, which was considered by the House education committee this month, would require accreditors to establish minimum benchmarks for student success in graduating and getting jobs, though it does not specify what they should be.
It allows for different standards for different types of degrees. It also allows for other measures of academic quality, as accreditors see fit. All it requires is some kind of minimum, somewhere. In fact, accreditors wouldn’t have to deny accreditation to colleges that miss the benchmarks.
Though this proposed revision might seem toothless, it has the potential to have significant effects given colleges’ dependence on federal grants and student loans. College industry associations have responded forcefully, denouncing the measure as “deeply problematic” and an “unprecedented federal intrusion.” Terry Hartle, chief lobbyist for the industry’s largest trade group, the American Council on Education, asserted that it would actually “increase the cost of doing business for most institutions,” because of the administrative burdens involved with tracking how many students graduate and get jobs while protecting their civil rights.
(Excerpt) Read more at nytimes.com ...
“make colleges repay loans that students default on”
That would solve several problems simultaneously, with little downside. It should be the first choice.
Heard in criminal court many times:
Judge: “When can you hire a lawyer?”
Youngish Defendant: “Well after the funds for my Pell Grant and student loans hit my account next week.”
Gee. The American taxpayers didn’t sign on for this. The money is often simply flittered away. There should be no loan forgiveness.
Student loans are welfare and subsidies for the colleges. The students are the vector... and THEY get tagged with the bill. This is a scam by the colleges. When are the STUDENTS going to wake up and see how their “benevolent” givernmrpent is screwing them. THIS is what SOCIALISM looks like, Freebies that ENSLAVE YOU.
Push it all over the internet. It is gaining traction.
colleges can pay all the higher education debt with buildings and endowments.
There needs to be no banking student loans
Colleges need to self fund. It will be amazng how little debt there will be if they swung for the loans on their students.
Prices would also drop like a rock
and bonus: leftism loses funding sources.
Where do you think they get the $$ to go on spring break trips?
Since these statistics are presented with no context, the author must consider them to be significant. Elizabeth Warren should be taxing the endowment funds; aren't they accumulated wealth?
Our institutions of higher indoctrination are now end pointed.
That’s extremely good news.
Besides, who wants to owe $50 grand plus interest for the “privilege” of being brain washed? They soon will have no market to boot or reboot.
Make the colleges be the lenders, and allow bankruptcy to wipe out student loans. It costs the college nothing to make a student loan, it is just deferred payment for services. If the loan is repaid, they would earn a profit like any lender.
If the recipient of the loan cannot find employment that enables them to repay, the college is the correct one to take the loss, having failed either to judge the student’s likely ability to repay (based on the course of study), or in charging more than the education was worth.
If this means that virtually all “XXX Studies” curricula die, well note to colleges, this is how the market works. Put the colleges on the hook for producing people who can earn in proportion to the cost.
That is so problematic on a variety of levels:
Raises school’s tuition to cover loses.
Incentivizes bad behavior by the loanee.
Foots the taxpayer with the bill.
Just need to get rid of the program. Period.
Yep exactly. Eliz Warren like many in her field make 350K/year for teaching one class.
President should mention this at his rallies. Colleges need to self fund/be the banker for student loans.
Go into debt competing with college STEM foreigners at 1/3 the pay where they are allowed to lie about resume background degrees and lie about experience.
Does college offer a class about living at 1/3 the money to survive?
Your first class should give the student a 1/3 sandwich, then explain diversity Replacement Migration.
A few years ago, I read an analysis of why college costs increased so much and it found that the costs were not increased instructional cost but admin costs. It surprised even the people asking the question. It should not have. It is just like the increase in healthcare costs. Socialism.
DK
Where is the Judge to gavel down that a college pay the student default debt? Start slow. 25%.
The Mansions the Deans live in cost a fortune. Then you have the Retirement and insurance they get. Run for Congress get elected, served 18 yrs then get that retirement package. Lamar Alexander fits you bill to a T.
Yes, turn our public universities into for-profit entities as much as possible. This may not be able to be done completely, but it should be pursued and incentivized as much as possible.
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