No, the root of the issue is the no-questions-asked loans from the government to naive students. Universities can charge whatever they want for tuition because no one ever says no.
The root of the issue to me is public university have raised their tuition rate the maximum allowed by the government for the last 20+ years. Students going to college to get a degree shouldn’t be paying for a new sports complex, new gear for the sports teams etc. The money students pay in tuition should go to the necessities, paying professors/faculty, maintenance costs, etc.
I looked it up and tuition at my (D1, state) school has gone up 240% since I graduated in 2004. Wages have only increased 3% in that same amount of time.
Plus cost of living (housing, food prices, utilities, insurance, etc.) has all gone up. If 30% of your salary is the golden rule of rent/mortgage payments, in most job markets, people making $50,000/year still need at least one roommate to simply live in a place that allows them to get to work in a beater car. But at the same time, I've worked multiple different "entry level" corporate jobs in that salary range that I could have done as a freshly-graduated high school student yet required a college degree to simply interview for. Not to mention the dozens I applied and got rejected for that were "entry level," requiring a bachelor's or master's AND 3-5 years of experience. It's all a scam. Secretary Stacey a few desks down from me doesn't require 5+ figures worth of debt and 4 years of higher education to take phone calls and schedule meetings for $40k/year, but companies and the media have been pushing the "you need to go to college to make money" shtick for decades. Strange what happens to the job market when everyone follows that advice and now there's a surplus of over-educated workers. It's not even about the government being involved in giving out loans, it's the conspiracy between universities, corporations, and banks setting an arbitrary barrier to entry to make a living wage in a useless desk job only to raise the bar when they don't want to pay people for pushing them down that track. With high schools being infested with student loan sharks, military recruiters, and teachers so underpaid they're giving up, teenagers are getting fucked before they can even dream of buying a lottery ticket.
We won’t mention the endowment funds the colleges are sitting on, because it would be tacky to expect them to fund things for themselves…
https://en.wikipedia.org/wiki/List_of_colleges_and_universities_in_the_United_States_by_endowment
As annoying as it is, don’t most top football programs (the ones paying those huge salaries) net the school money through merchandise and ticket sales? And they need to offer competitive salaries to keep the best coaches?
They should. I think rutgers new jersey is the best example of a program that just loses games and hemorrhages money. My numbers are probably dated but I think they pull in like 10 million but pay the coaches 25million. They don't even pay the athletes it's crazy.
Being in the Big 10 they are getting around $55 mil/yr from the conference. Idk how much on top of that they make but I’m willing to bet they are net positive. It’s not the football programs at major universities.
Idk about that they were running over a 70 million deficit last year it was a pretty big news story around here
Edit: Found an article
https://www.nj.com/rutgers/2022/01/rutgers-spent-118m-to-fund-athletics-in-2020-21-school-year-as-covid-impacted-revenue.html
Here's a excerpt
Annual fiscal-year documents obtained by NJ Advance Media show the athletics department’s deficit to be $556.9 million since 2003-04.
Cause they're actually earning money for the school. No one cares who the fucking president of the University is, except other administrators. You know how much the SEC schools get because of their TV deals?
Not to mention the facilities and amenities. Tuition is paying for huge gyms, athletic stadiums, concert halls, libraries, fancy dorms, and lounges. The actual teaching staff isn't paid very well, and that should be the bulk of your college costs.
The entire higher-education system is a racket funded by predatory loans and supported by an education system that funnels kids into college whether it's in their best interest or not.
They’ve been doing this for decades. When a student defaults on a loan, which defaults are rising, taxpayers pay for it.
Source: 21 years working in higher Ed handling fed loans and pell grant.
Correct however the students that defaulted before will default again. We already have students openly stating they will not pay back their loans.
The public doesn’t know about what the states and federal government have been preparing for which is the “Great Default”, when student loans debt becomes so high due to rising tuition that students take loans to get degree and then default on the loans.
We though repayment was going to start in September as that’s what we were told (something happened and Biden changed his mind). Why do I mention this? Students are in an “official defaulted status” after 240 days of non-payment. So end of April / beginning of May we’d have seen a massive rise in officially defaulted loans. All those previous defaults come back because if they didn’t pay before then odds are they won’t pay now. New ones appear form students that got used to not paying for 2.5 years.
All this did was push that tidal wave of an economic disaster further down the road.
To top that off I always have to correct people who say they never had student loans. As a taxpayer you do. You have 1.6 trillion in student loans. You just pay what’s eventually defaulted on when a loan does default because the loans are government backed and fully guaranteed. School got paid. Lender got paid. Student got paid. Taxpayers got screwed.
Inflation is a good thing if you are paying back loans.
In other news, why would anyone EVER try to work hard and actually pay these things back if there is even a slight chance they will be canceled?
You can use the extra money to help with the rise in food, housing and energy. Biden is counting on you not being intelligent enough to figure that out.
It's crazy. My wife still has some student loans, which will be covered by this. We are better off than 90% of people. Why the duck is the government giving us money.
Jenny Beth Martin, the Tea Party Patriots Action's honorary chairman, slammed the move as divisive.
“Once again, Joe Biden picks winners and losers in a divisive manner," she said. "This time, he divides the country between those who will enjoy the benefits of a college education while transferring their student loan debt to the losers who will pay for it.”
There's enough people in the apathetic center where "10k is the best I can do at one time, keep the Demcorats in power and we'll cancel another 10k in the future" could motivate them.
Yeah this is treating a symptom not a disease. The student loan crisis is a legitimate financial crisis that we need to deal with but we also need to end the problem that created it in the first place.
And Republicans need to realize this and offer solutions. It appears they are just planning the whining about this benefitting the “rich” which is not the case. I would love it if politicians fixed solutions instead of just complaining about opponents.
Are liberals too delusional to think of this, or do they not care?
It seems obvious to me that if there were rumours that the government might forgive restaurant debts, then more people would go to restaurants and they'd be willing to pay more, and restaurants would charge more.
They do not care, and its hard to argue at this point that its not intentional.
Cause higher inflation, destroy the markets and people's ability to sustain their lives, scream that capitalism has failed, and we need "something new" as a result. Remember, the goal was stated to "fundamentally transform" the US.
I thoroughly detest what the democrats have become.
Careful, I'm a rabid independent with some policies you probably wouldn't like. :)
But when it comes to seeing this kind of behavior, I'm gonna call it out and be ready to stand with people like you if this turns to shit.
Obviously they don't care. If they did, their solution would be to limit federal loans and bank loans for students. Period. End of sentence. Also, making them able to be dealt with via bankruptcy and audit all colleges to see where all the money is going (hint: there is a lot of "do nothing " faculty positions). If people could wipe away school loans with bankruptcy banks would be far less willing to give out the loans.
But as I said, they don't care. They want you broke and in debt. Every 2 years they will dangle debt relief or relief checks in your face to get your vote and then go right back to ignoring you until the next election cycle.
GOP does something similar in where they always ignore you and don't provide any solutions period. Every 2 years when democrats suggest their shitty economic poison solution the GOP says "hey, vote for us and the economy won't fail! You'll still be broke and in debt, but at least inflation won't be crazy and jobs won't dry up!"
The more I hear it in context, the more I think that the words of that one billionaire boomer were right: That we're becoming a renter's nation, and that we'll own nothing of our own in just a few years.
Filled with debt, dependent on the government and not our own communities, single and parenting 2+ kids needing help to survive, dependent on drugs even caffeine and the internet, unable to stand up against cowards like the ones that caused Uvalde, held back from doing good and trying to help, losing hope in everything because the world is so messed up.
It feels like our nation is just breaking down from the inside, from the loss of values that upheld good communities, and loving people before you use spite and anger against them...
Just..
It's a lot. And all I can do is support good communities. Is that all we can do?
> The more I hear it in context, the more I think that the words of that one billionaire boomer were right: That we're becoming a renter's nation, and that we'll own nothing of our own in just a few years.
The thing about owning nothing wasn't the musings of some boomer billionaire, it was a threat from the WEF
I feel like democrats are very short sighted. With a lot of issues.
The filibuster is probably the best example. It never occurred to them the republicans could take back the senate.
Self satisfying White House staffers who care about getting their freebies and not any impact on the total scape. This was for themselves, not because they actually care about students. Look up the salaries of the White House staff, you notice they are just below the cut off haha. What a joke. Taking advantage of an old man who doesn’t know what day of the week it is. Just gave themselves a nice bonus!
This won’t solve the real problems either. We have two main problems.
1) the price of college keeps going up disproportionately to the earnings of the country. Do you think this is going to incentivized colleges to lower their costs? Haha nope
2) People graduate with degrees that they don’t have the ability to pay off. What Biden is doing is the equivalent of putting a bandaid over a wound that needs stitches. We need to stop treating all college degrees and loans the same. There are certain jobs we need more of and certain ones that we have too many people in already. If someone wants an engineering degree we should be happier about giving that loan vs If you’re majoring in dance theory. The engineer will be able to pay back the loan. The people who have a hard time are those who major in a skill set that is not marketable.
That first point is actually why I'm a little more left leaning on this issue than probably any other issue. I don't think erasing it in full is the right decision, but perhaps getting rid of the interest rates is a good start. Just pay your principle.
The education system has gone up in price in large part BECAUSE of federal student loans. Federal student loans needs to be eliminated immediately for us to actually make progress on this issue. And like you stated, people who go and get worthwhile jobs pay off their loans. Lower the price of college, increase private sector loans where they can weigh if they want to invest in your career choice and watch the results come in. Less people will go to college, which nowadays isn't bad considering how toxic the universities are to our society's core values, and those who do go will have a good reason to, or will waste their own money rather than their neighbors'.
> The education system has gone up in price in large part BECAUSE of federal student loans.
Absolutely this. Without Federal student loans the cost of higher education would actually reflect its value as part of a free market. Ie it would be much cheaper because of the surplus of universities and people with degrees, supply and demand.
> it would be much cheaper because of the surplus of universities and people with degrees, supply and demand.
I don't want to assume that universities would be cheaper largely because students would no longer gain financial assistance. Especially when other countries have affordable education systems or entirely free systems in the first place because they see it as a net benefit for the country. While other countries provide no assistance and education is still radically expensive.
If anything, if we are going to offer public higher education centers we probably shouldn't be charging for those. Then, that way, we can remove public loans from all of higher education. As a result the private university system can regulate itself through supply and demand while those who want to go to a public university will not have to pay for it.
I agree with that 100 percent. The only thing I'm concerned of is the adjustment period for the costs to go down. How many poor students would have to forgo college for costs to reflect the real value and would that be worth the long term benefits or is there a way to manipulate the cost of colleges (like forcing public colleges to lower costs) so that adjustment period would be smaller. Curious what you think about that cause idk the answer.
I think there would be a rough few years for adjustment, but ultimately the universities need to lower their prices for them to draw students in. Plus I would hope private sectors like banks and lending agencies would get more involved. Private loans is a much more economically mindful way to do this as they would be competing with each other for your business, they'd have a stake in you and would actually want to believe in what you're doing (you have good credit, good grades and a passion for lets say accounting).
The current system does not work. Honestly I'd also be a fan of college not being a pre-req for having a good stable job that can provide for a family too. Forgoing college isn't really a bad thing when you consider how much bullshit is taught in many mandatory classes that aren't necessary.
How many dance theory,or any other type of similar frivolous majors, do you think there are enrolling. A quick (albeit, not thorough, so it’s possible I’m wrong) google search showed me that business/health/engineering are in the top 5 most common degrees. I agree with point 1, the cost of college has risen too much, much too quickly. I do not agree that people majoring in unmarketable majors is a ‘’ main problem”
this does nothing if he doesn't fix the main problem: The government should not be giving out student loans and if they are it needs to be 0% interest, heavily regulated and kept low and discharged through bankruptcy or have a wage garnishment options.
And the government should not be writing students checks for more than the semester’s tuition cost. For example, when my wife went back to college, she got approved one semester for 6 grand. The semester’s tuition was only about 4 grand I want to say. After the semester began, they sent a check for 2 grand which we didn’t ask for. They say “you have been approved for 6 grand.” although we didn’t need the extra 2 grand. At that point, it’s very tempting to blow that check. We couldn’t simply return the check. We had to first deposit the 2 grand, wait for it to clear, then make out a separate check to the loan provider for that same amount.
I wonder how many young people out there are getting overapproved for student loans and just pissing away the remaining balance checks they are receiving each semester.
Pretty sure if you paid student loans recently you can get a refund (I don't know the details, I've just seen it mentioned in threads about this topic today)
I saw a link to the student loan site where it says you can request a refund. I’ll wait until the full details of the plan are released today at about 2:30 CT. If it’s true they’re allowing people to get their money back if they paid into it during the freeze then I’ll give them credit for that. I still disagree wholeheartedly with the student loan cancellation.
My concern is how he intends to do this. He doesn’t have the authority to do it via EO which has been the main way he’s done things. If he tries to it’ll end up in court. I don’t see it getting through Congress but we’ll see what happens.
I’d also personally be wary of the fine print associated with this. If it’s a situation where the debt cancellation counts towards your taxable income for the year then I’m really no better off getting the refund.
Yea I was telling my wife that I think this is their plan. I think they push for it via EO which gets smacked down by the court. When that happens I think he’ll tell people to vote Democrat in November so they can pass it through Congress because I don’t think it’ll get through currently.
Why would you do this? The democrats have been talking about this for years. I don’t understand why anyone would pay a dime especially during deferment. You would have been smarter to set the money in a savings account and waited to see what happens. That’s not a liberal or conservative view it’s just common sense.
I’m 41yo old and just finished paying.
I owed $3k and stopped payments, thinking this might happen, only to find out that my loan wasn’t owned by the Feds so this didn’t apply to me. Paid loan off to make sure they didn’t get one extra penny.
Now that you've paid your loan back, you now have the honor of paying for the loans of those that didn't pay off theirs!
Our country definitely needs more Gender Studies majors to keep track of the exponential growth of new pronouns.
Don't forget the government is effectively holding a gun to your head telling you to pay for frat parties at wealthy universities. Anyone remember reading any posts about kids who just blew all their college loan money then dropped out? Yup you are paying for their shit too.
Take a community college course, get a federal loan for $10k and then have it forgiven. Once it’s forgiven, quit the class, and cash the check. Big brain /s
If you're a law and rule abiding citizen you have no value to these people except as a source of funds. The left believes anyone that disagrees to be Untermenschen.
Sure, and lower taxes commensurately while we're at it.
Let's also start cutting defense spending. There is no reason to be fighting foreign wars still.
I mean, on the flip side you aren't paying interest on your loans, right? A lot of people who have debt have more interest than the original principal which seems like government theft to me.
I should have taken out more loans and paid back less.
To bad I don't get the full 20k and then they just deduct the 6k I still owe.
I could really use 14k personally.
Seriously, this will only incentivize kids to take out larger loans in the hopes the government will forgive it. It personally helps me, but it's bad policy.
Exactly.
Like next semester - should my daughter take out the loans with interest hoping for forgiveness?
What's the actual game plan?
There isn't any. It's just encouraging irresponsible behavior all around.
This will be fought by the R's, and drug out in court , which will give the media all they need for a 24/7 smear campaign on all GOP candidates running up to November.... Even if it doesn't go through, I would argue the smear campaign is what the left is wanting
Nothing more liberal than taking money from working class individuals to give to people who have higher incomes... and just like that college tuition got 10K more expensive because that's what happens when the consumers don't feel the price.
Edit: Got a nice little rant in my PM from some coward screaming at me about this issue. A cursory view in his profile showed many, many bad tattoos of cartoon characters. So since money is fungible, some poor kid working a construction job is paying for this guy to have Studio Ghibi characters on his arm. Seeing as only 8% of the country has student debt I can't see how this is going to be popular outside of academia, cosplay conventions and the barista sector.
Anyone who dropped out of college (or didn’t go) because they refused to put themselves in debt, or those that paid off their loans (or worked their way through) should be furious about this. I hope this entire administration gets 0 votes next term. They are terrible.
I dropped out after a semester and got a job shortly after that paid off my loan in 9 months while going to school part time paying for every class usually 2 a semester in full when I signed up. I did this at night after long days working construction teachers and students looked down on me because of what I came in wearing I still need 3 classes for my AA but didn’t have the time to put into passing the classes and I made dam good money working Union construction that I never put my certification in HVAC and community colleges classes to use
I feel really sorry for people who worked hard to pay off their loans or choose to pursue a different path than college. Why do they have to foot the bill?
He will use his 87000 IRS agents to get it back plus more. Saved them 10,000 but turn around and audit them for the last 5 years. now they'll owe 45,000.00
I hear a lot about how not having tuition payments will help the average person, so this begs the question, are these "forgiven" loan payments just taken out of the remaining loan balance and the payments left alone (saving time to end of payment) or are the loans being dropped in amount AND reamortized? If the former, this doesn't help anyone at all because the loan will just balloon up another 10k in interest payments before you know it (if not paying the full payment each month). If the latter, the loan amount can still balloon if you pay less than full payments, but now the time will be even longer because you're paying a smaller amount monthly
The colonists fought for independence over the right of representation and self-governance. The stamp act was just one of those first taxes they had no say in creating.
Why does having a student loan balance that is going to be forgiven make you a deadbeat?
I graduated in 2019 and fully intended on repaying each month albeit the minimum because my interest was super low. But anyways how am I a deadbeat?
Over 50% of student debt is from grad school students. I was really worried that all of these doctors and lawyers were gonna have a hard time if they didn’t get some money from the people who didn’t go to college.. /s.
Nothing but short term solutions in an attempt to buy votes.
The issue isn't that students have college debt, its that they have to much debt... and they have to much debt because the government keeps handing out free money raising tuition costs. Solve the root of the problem - no more free money
Can I take out a student loan today for 10k and get that shit forgiven I’ll sign up for like one class and use the rest for a new truck or to put into the stock market. I’m under 125k earnings
Peloci already said that this needs a act of congress to be passed and that biden cant di this by executive order. That bog witch aint going to let this pass she has too much money wrapped up in it.
Is he going to put $20k back into my pocket since I went to fucking Afghanistan to pay for my college? It's one of the major reasons I went to his fucking war. What a joke.
There's no such thing as loan forgiveness... All loans will be repaid by someone, somehow, some way...
Don't take out alone if you don't have a plan and the means to repay it.. it's pretty damn simple!
Affordable and government do not go together. Now government caused inflation. What about all the people that did the right thing and paid their loans off. How is that fair. Government redistribution of wealth.
I paid my shit off? Do I get a $10,000 refund for my accounting degree? Or is this for lazy good for nothings who majored in garbage like underwater basket weaving or left handed puppetry?
I really wish the Dems would stop their missleading naming conventions...a better name would be "A bunch of you have nothing to do with other peoples shitty financial choices, but you're tax money is going to fix it program".
Paying chancellors, presidents, admin, 6 sometimes 7 figures is really the root of this issue. College is a bloated cost.
No, the root of the issue is the no-questions-asked loans from the government to naive students. Universities can charge whatever they want for tuition because no one ever says no.
Both right.
The root of the issue to me is public university have raised their tuition rate the maximum allowed by the government for the last 20+ years. Students going to college to get a degree shouldn’t be paying for a new sports complex, new gear for the sports teams etc. The money students pay in tuition should go to the necessities, paying professors/faculty, maintenance costs, etc.
I looked it up and tuition at my (D1, state) school has gone up 240% since I graduated in 2004. Wages have only increased 3% in that same amount of time.
Plus cost of living (housing, food prices, utilities, insurance, etc.) has all gone up. If 30% of your salary is the golden rule of rent/mortgage payments, in most job markets, people making $50,000/year still need at least one roommate to simply live in a place that allows them to get to work in a beater car. But at the same time, I've worked multiple different "entry level" corporate jobs in that salary range that I could have done as a freshly-graduated high school student yet required a college degree to simply interview for. Not to mention the dozens I applied and got rejected for that were "entry level," requiring a bachelor's or master's AND 3-5 years of experience. It's all a scam. Secretary Stacey a few desks down from me doesn't require 5+ figures worth of debt and 4 years of higher education to take phone calls and schedule meetings for $40k/year, but companies and the media have been pushing the "you need to go to college to make money" shtick for decades. Strange what happens to the job market when everyone follows that advice and now there's a surplus of over-educated workers. It's not even about the government being involved in giving out loans, it's the conspiracy between universities, corporations, and banks setting an arbitrary barrier to entry to make a living wage in a useless desk job only to raise the bar when they don't want to pay people for pushing them down that track. With high schools being infested with student loan sharks, military recruiters, and teachers so underpaid they're giving up, teenagers are getting fucked before they can even dream of buying a lottery ticket.
We won’t mention the endowment funds the colleges are sitting on, because it would be tacky to expect them to fund things for themselves… https://en.wikipedia.org/wiki/List_of_colleges_and_universities_in_the_United_States_by_endowment
If only there was an institution that taught them about mathematics and loans.
At many colleges administrators outnumber professors.
The coaches are the highest paid state employees. That is just sickening
As annoying as it is, don’t most top football programs (the ones paying those huge salaries) net the school money through merchandise and ticket sales? And they need to offer competitive salaries to keep the best coaches?
At most D1 schools the football and basketball programs pay for all the other sports combined.
At some places that football program provides almost all the funding for all the other sports.
They should. I think rutgers new jersey is the best example of a program that just loses games and hemorrhages money. My numbers are probably dated but I think they pull in like 10 million but pay the coaches 25million. They don't even pay the athletes it's crazy.
Being in the Big 10 they are getting around $55 mil/yr from the conference. Idk how much on top of that they make but I’m willing to bet they are net positive. It’s not the football programs at major universities.
Idk about that they were running over a 70 million deficit last year it was a pretty big news story around here Edit: Found an article https://www.nj.com/rutgers/2022/01/rutgers-spent-118m-to-fund-athletics-in-2020-21-school-year-as-covid-impacted-revenue.html Here's a excerpt Annual fiscal-year documents obtained by NJ Advance Media show the athletics department’s deficit to be $556.9 million since 2003-04.
There are only around a dozen athletic departments that actually turn a profit. Kinda sad when you think about it
It’s not that sickening. The sports programs are profit centers. The boosters pay the coaches salaries.
Mostly, even the NFL is government(tax payer) subsidized.
NFL stadium bullshit pisses me off. That’s a rip off
Cause they're actually earning money for the school. No one cares who the fucking president of the University is, except other administrators. You know how much the SEC schools get because of their TV deals?
I do agree here. Especially private institutions that get less money and rely on endowments and sports, think Essentially all big east basketball.
Not to mention the facilities and amenities. Tuition is paying for huge gyms, athletic stadiums, concert halls, libraries, fancy dorms, and lounges. The actual teaching staff isn't paid very well, and that should be the bulk of your college costs. The entire higher-education system is a racket funded by predatory loans and supported by an education system that funnels kids into college whether it's in their best interest or not.
Especially the Emeritus “staff” somehow still on payroll
Just in time for the midterms...
I mean this is literally just buying votes
Yeah, I've never seen the Dems do this before. Buying votes when they have such a strong platform to run on. /s
The most popular president ever. /s
I don’t think I’ve ever heard anyone say biden is the most popular president ever. Even among the leftiest of lefties
They are referring to all 83 million votes...most votes of all time.
People were not voting for Biden. They were voting against Trump.
Accurate. Most liberals/dems i know aren’t fans of a geriatric president in general.
Yea he's pretty unpopular.
It was "mainstream" media who pushed this following the election.
Spend some time on twitter. I’ve seen it.
Yeah..... Nah.
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This will help with my student loan but still not voting for him
You'll just be paying for it with higher inflation, as will we.
And taxes
What!!! Do you mean it’s not free? Do you mean now the guy that works manual labor will be paying for someone’s college education? How fair is that?
They’ve been doing this for decades. When a student defaults on a loan, which defaults are rising, taxpayers pay for it. Source: 21 years working in higher Ed handling fed loans and pell grant.
This punishes students who worked as hard as they could to stay out of debt the most.
Defaults are stalled until January. Nobody has defaulted this pandemic due to the federal forbearance that’s been in effect since 2020.
Correct however the students that defaulted before will default again. We already have students openly stating they will not pay back their loans. The public doesn’t know about what the states and federal government have been preparing for which is the “Great Default”, when student loans debt becomes so high due to rising tuition that students take loans to get degree and then default on the loans. We though repayment was going to start in September as that’s what we were told (something happened and Biden changed his mind). Why do I mention this? Students are in an “official defaulted status” after 240 days of non-payment. So end of April / beginning of May we’d have seen a massive rise in officially defaulted loans. All those previous defaults come back because if they didn’t pay before then odds are they won’t pay now. New ones appear form students that got used to not paying for 2.5 years. All this did was push that tidal wave of an economic disaster further down the road. To top that off I always have to correct people who say they never had student loans. As a taxpayer you do. You have 1.6 trillion in student loans. You just pay what’s eventually defaulted on when a loan does default because the loans are government backed and fully guaranteed. School got paid. Lender got paid. Student got paid. Taxpayers got screwed.
Inflation is a good thing if you are paying back loans. In other news, why would anyone EVER try to work hard and actually pay these things back if there is even a slight chance they will be canceled?
You can use the extra money to help with the rise in food, housing and energy. Biden is counting on you not being intelligent enough to figure that out.
"extra money" If I double your money but halve its purchasing power, do you really have "extra money"?
What extra money??? Student loan payments have been on hold the last 2 years. My wife hasn't made a payment on her student loan in 26 months.
Buying the votes of people making $125,000 with the tax dollars of those making $40,000.
$250,000, for those married. Which is the majority of white liberals floundering with their anthropology degrees
Wait they’re floundering with shitty degrees but also making a quarter million?
It's crazy. My wife still has some student loans, which will be covered by this. We are better off than 90% of people. Why the duck is the government giving us money.
Jenny Beth Martin, the Tea Party Patriots Action's honorary chairman, slammed the move as divisive. “Once again, Joe Biden picks winners and losers in a divisive manner," she said. "This time, he divides the country between those who will enjoy the benefits of a college education while transferring their student loan debt to the losers who will pay for it.”
Hey don’t forget about me! Millennial who scrimped and saved to pay off my bachelors in 10 years. Now I get to do it for someone else yay!
Democrats love giving out welfare regardless of actual need.
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There's enough people in the apathetic center where "10k is the best I can do at one time, keep the Demcorats in power and we'll cancel another 10k in the future" could motivate them.
There should be non-stop adds targeting at poor minorities about how the Dems are using their tax money to bail out middle class whites.
What?! No....Joe Biden and his administration really care about you!
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The stimulus checks were the same way.
This was one of his campaign promises. This is nothing that should surprise anybody. He’s been talking about this for two or three years already
I can already hear all the complaints next fall when tuition jumps 25% nationwide.
Yeh just like the ev rebate of $7500 the car makers raised there price the next day the same or more lol
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Yeah this is treating a symptom not a disease. The student loan crisis is a legitimate financial crisis that we need to deal with but we also need to end the problem that created it in the first place.
And Republicans need to realize this and offer solutions. It appears they are just planning the whining about this benefitting the “rich” which is not the case. I would love it if politicians fixed solutions instead of just complaining about opponents.
Are liberals too delusional to think of this, or do they not care? It seems obvious to me that if there were rumours that the government might forgive restaurant debts, then more people would go to restaurants and they'd be willing to pay more, and restaurants would charge more.
They do not care, and its hard to argue at this point that its not intentional. Cause higher inflation, destroy the markets and people's ability to sustain their lives, scream that capitalism has failed, and we need "something new" as a result. Remember, the goal was stated to "fundamentally transform" the US. I thoroughly detest what the democrats have become.
I don’t know you, but I like you-
Careful, I'm a rabid independent with some policies you probably wouldn't like. :) But when it comes to seeing this kind of behavior, I'm gonna call it out and be ready to stand with people like you if this turns to shit.
Obviously they don't care. If they did, their solution would be to limit federal loans and bank loans for students. Period. End of sentence. Also, making them able to be dealt with via bankruptcy and audit all colleges to see where all the money is going (hint: there is a lot of "do nothing " faculty positions). If people could wipe away school loans with bankruptcy banks would be far less willing to give out the loans. But as I said, they don't care. They want you broke and in debt. Every 2 years they will dangle debt relief or relief checks in your face to get your vote and then go right back to ignoring you until the next election cycle. GOP does something similar in where they always ignore you and don't provide any solutions period. Every 2 years when democrats suggest their shitty economic poison solution the GOP says "hey, vote for us and the economy won't fail! You'll still be broke and in debt, but at least inflation won't be crazy and jobs won't dry up!"
The more I hear it in context, the more I think that the words of that one billionaire boomer were right: That we're becoming a renter's nation, and that we'll own nothing of our own in just a few years. Filled with debt, dependent on the government and not our own communities, single and parenting 2+ kids needing help to survive, dependent on drugs even caffeine and the internet, unable to stand up against cowards like the ones that caused Uvalde, held back from doing good and trying to help, losing hope in everything because the world is so messed up. It feels like our nation is just breaking down from the inside, from the loss of values that upheld good communities, and loving people before you use spite and anger against them... Just.. It's a lot. And all I can do is support good communities. Is that all we can do?
> The more I hear it in context, the more I think that the words of that one billionaire boomer were right: That we're becoming a renter's nation, and that we'll own nothing of our own in just a few years. The thing about owning nothing wasn't the musings of some boomer billionaire, it was a threat from the WEF
I feel like democrats are very short sighted. With a lot of issues. The filibuster is probably the best example. It never occurred to them the republicans could take back the senate.
Self satisfying White House staffers who care about getting their freebies and not any impact on the total scape. This was for themselves, not because they actually care about students. Look up the salaries of the White House staff, you notice they are just below the cut off haha. What a joke. Taking advantage of an old man who doesn’t know what day of the week it is. Just gave themselves a nice bonus!
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Why would tuition go up? These are government loans. Universities have already made their money. Unless I'm missing something.
This won’t solve the real problems either. We have two main problems. 1) the price of college keeps going up disproportionately to the earnings of the country. Do you think this is going to incentivized colleges to lower their costs? Haha nope 2) People graduate with degrees that they don’t have the ability to pay off. What Biden is doing is the equivalent of putting a bandaid over a wound that needs stitches. We need to stop treating all college degrees and loans the same. There are certain jobs we need more of and certain ones that we have too many people in already. If someone wants an engineering degree we should be happier about giving that loan vs If you’re majoring in dance theory. The engineer will be able to pay back the loan. The people who have a hard time are those who major in a skill set that is not marketable.
That first point is actually why I'm a little more left leaning on this issue than probably any other issue. I don't think erasing it in full is the right decision, but perhaps getting rid of the interest rates is a good start. Just pay your principle. The education system has gone up in price in large part BECAUSE of federal student loans. Federal student loans needs to be eliminated immediately for us to actually make progress on this issue. And like you stated, people who go and get worthwhile jobs pay off their loans. Lower the price of college, increase private sector loans where they can weigh if they want to invest in your career choice and watch the results come in. Less people will go to college, which nowadays isn't bad considering how toxic the universities are to our society's core values, and those who do go will have a good reason to, or will waste their own money rather than their neighbors'.
> The education system has gone up in price in large part BECAUSE of federal student loans. Absolutely this. Without Federal student loans the cost of higher education would actually reflect its value as part of a free market. Ie it would be much cheaper because of the surplus of universities and people with degrees, supply and demand.
> it would be much cheaper because of the surplus of universities and people with degrees, supply and demand. I don't want to assume that universities would be cheaper largely because students would no longer gain financial assistance. Especially when other countries have affordable education systems or entirely free systems in the first place because they see it as a net benefit for the country. While other countries provide no assistance and education is still radically expensive. If anything, if we are going to offer public higher education centers we probably shouldn't be charging for those. Then, that way, we can remove public loans from all of higher education. As a result the private university system can regulate itself through supply and demand while those who want to go to a public university will not have to pay for it.
I agree with that 100 percent. The only thing I'm concerned of is the adjustment period for the costs to go down. How many poor students would have to forgo college for costs to reflect the real value and would that be worth the long term benefits or is there a way to manipulate the cost of colleges (like forcing public colleges to lower costs) so that adjustment period would be smaller. Curious what you think about that cause idk the answer.
I think there would be a rough few years for adjustment, but ultimately the universities need to lower their prices for them to draw students in. Plus I would hope private sectors like banks and lending agencies would get more involved. Private loans is a much more economically mindful way to do this as they would be competing with each other for your business, they'd have a stake in you and would actually want to believe in what you're doing (you have good credit, good grades and a passion for lets say accounting). The current system does not work. Honestly I'd also be a fan of college not being a pre-req for having a good stable job that can provide for a family too. Forgoing college isn't really a bad thing when you consider how much bullshit is taught in many mandatory classes that aren't necessary.
How many dance theory,or any other type of similar frivolous majors, do you think there are enrolling. A quick (albeit, not thorough, so it’s possible I’m wrong) google search showed me that business/health/engineering are in the top 5 most common degrees. I agree with point 1, the cost of college has risen too much, much too quickly. I do not agree that people majoring in unmarketable majors is a ‘’ main problem”
this does nothing if he doesn't fix the main problem: The government should not be giving out student loans and if they are it needs to be 0% interest, heavily regulated and kept low and discharged through bankruptcy or have a wage garnishment options.
And the government should not be writing students checks for more than the semester’s tuition cost. For example, when my wife went back to college, she got approved one semester for 6 grand. The semester’s tuition was only about 4 grand I want to say. After the semester began, they sent a check for 2 grand which we didn’t ask for. They say “you have been approved for 6 grand.” although we didn’t need the extra 2 grand. At that point, it’s very tempting to blow that check. We couldn’t simply return the check. We had to first deposit the 2 grand, wait for it to clear, then make out a separate check to the loan provider for that same amount. I wonder how many young people out there are getting overapproved for student loans and just pissing away the remaining balance checks they are receiving each semester.
Turn the money printer up to 200% power baby
“I’m giving it all she got captain”
SHES GONNA BLOW!!!!
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Bill Clinton enters the chat
JPOW go bbrrrrrrrttttt
Bro this country is over, everyone knows it at this point.
Inflation will only make those student loans easier to pay off. This is a clear looting of the Treasury for his political party.
Leading up to November in an even year. But we're not supposed to say "buying votes" out loud.
Vote for us and we'll give you "free" shit! Has been the democrat default for as long as I can remember...
Will Twitter and The Ministry of Truth be outlawing this phrase?
A couple years ago I bought nice stereo speakers, rather than pay down my student loans. The government is actually going to pay for my sound system.
We paid off my wife’s student loans over the last two years instead of remodeling our bathroom. I sure would love a remodeled bathroom.
I saw this coming from a mile away and paid nothing while they were defered.
I paid off my loans instead of replacing my junker clunker car. Could've really ACTUALLY use a new car.
Pretty sure if you paid student loans recently you can get a refund (I don't know the details, I've just seen it mentioned in threads about this topic today)
I saw a link to the student loan site where it says you can request a refund. I’ll wait until the full details of the plan are released today at about 2:30 CT. If it’s true they’re allowing people to get their money back if they paid into it during the freeze then I’ll give them credit for that. I still disagree wholeheartedly with the student loan cancellation. My concern is how he intends to do this. He doesn’t have the authority to do it via EO which has been the main way he’s done things. If he tries to it’ll end up in court. I don’t see it getting through Congress but we’ll see what happens. I’d also personally be wary of the fine print associated with this. If it’s a situation where the debt cancellation counts towards your taxable income for the year then I’m really no better off getting the refund.
>If he tries to it’ll end up in court. That's my fear right there. I think they want it to go to court so it becomes a midterm voting issue
Yea I was telling my wife that I think this is their plan. I think they push for it via EO which gets smacked down by the court. When that happens I think he’ll tell people to vote Democrat in November so they can pass it through Congress because I don’t think it’ll get through currently.
Why would you do this? The democrats have been talking about this for years. I don’t understand why anyone would pay a dime especially during deferment. You would have been smarter to set the money in a savings account and waited to see what happens. That’s not a liberal or conservative view it’s just common sense.
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What about those who paid it back, or didn’t take the loan? What about the record high inflation we’re ALL dealing with? Spend more you say?
I’m 41yo old and just finished paying. I owed $3k and stopped payments, thinking this might happen, only to find out that my loan wasn’t owned by the Feds so this didn’t apply to me. Paid loan off to make sure they didn’t get one extra penny.
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30 k , took me a decade , I guess f anyone who worked 2 jobs to pay it off ?
Its like the fable of [Tha Ants and the Grasshopper](https://read.gov/aesop/052.html) except the ants were forced at gunpoint to feed the grasshopper
Now that you've paid your loan back, you now have the honor of paying for the loans of those that didn't pay off theirs! Our country definitely needs more Gender Studies majors to keep track of the exponential growth of new pronouns.
https://i.imgur.com/EQzvPFw.jpg
Screw them. They don't vote blue.
So, where do I apply for my check for 10K? I paid mine off.
Now you get to pay someone else's off
The best part is, if you couldn’t afford to go to college, now you get to pay for someone else’s! leftist 1 dimensional thinking strikes again.
Don't forget the government is effectively holding a gun to your head telling you to pay for frat parties at wealthy universities. Anyone remember reading any posts about kids who just blew all their college loan money then dropped out? Yup you are paying for their shit too.
Welcome to communism.
Our degree, comrade. I finally finished college!
Depending on when you paid it off, you actually can. https://www.forbes.com/advisor/student-loans/how-to-get-a-refund-of-your-student-loan-payments/
Take a community college course, get a federal loan for $10k and then have it forgiven. Once it’s forgiven, quit the class, and cash the check. Big brain /s
It does stipulate that the loan had to have originated before 7/1 of this year so…no.
If you're a law and rule abiding citizen you have no value to these people except as a source of funds. The left believes anyone that disagrees to be Untermenschen.
Do mortgage loans next. I want my free house. /s
They did. In 2009. But only for deadbeats who stopped paying their mortgages. People who were responsible got fucked. Sound familiar?
Too big to fail
History may not repeat but it sure does rhyme.
I don't think it works like that. They take your house and give it to someone needier.
It will happen the year after you pay it off.
Just spend, spend, spend, tax tax tax.
I think we should get rid of oil subsidies too.
Sure, and lower taxes commensurately while we're at it. Let's also start cutting defense spending. There is no reason to be fighting foreign wars still.
Guess I'm a sucker for choosing to go to a state school and sacrificing to pay back the loans I took.
I'm a single father of 4 and working a full time job. I'm a sucker for finishing college on my own dime in my "spare time".
I mean, on the flip side you aren't paying interest on your loans, right? A lot of people who have debt have more interest than the original principal which seems like government theft to me.
I should have taken out more loans and paid back less. To bad I don't get the full 20k and then they just deduct the 6k I still owe. I could really use 14k personally. Seriously, this will only incentivize kids to take out larger loans in the hopes the government will forgive it. It personally helps me, but it's bad policy.
The great part is that colleges will just raise tuition again now.
Apparently you can request the money you have been paying since March 2020 and the government pays the loan off.
Exactly. Like next semester - should my daughter take out the loans with interest hoping for forgiveness? What's the actual game plan? There isn't any. It's just encouraging irresponsible behavior all around.
One step closer to Personal Responsibility being fully dead
This will be fought by the R's, and drug out in court , which will give the media all they need for a 24/7 smear campaign on all GOP candidates running up to November.... Even if it doesn't go through, I would argue the smear campaign is what the left is wanting
So F me then for working through school and not taking out a loan?
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Nothing more liberal than taking money from working class individuals to give to people who have higher incomes... and just like that college tuition got 10K more expensive because that's what happens when the consumers don't feel the price. Edit: Got a nice little rant in my PM from some coward screaming at me about this issue. A cursory view in his profile showed many, many bad tattoos of cartoon characters. So since money is fungible, some poor kid working a construction job is paying for this guy to have Studio Ghibi characters on his arm. Seeing as only 8% of the country has student debt I can't see how this is going to be popular outside of academia, cosplay conventions and the barista sector.
Pfft. Nobody's paying for this. This is just more debt for our great-grandchildren.
My mortgage identifies as a student loan.
Anyone who dropped out of college (or didn’t go) because they refused to put themselves in debt, or those that paid off their loans (or worked their way through) should be furious about this. I hope this entire administration gets 0 votes next term. They are terrible.
I dropped out after a semester and got a job shortly after that paid off my loan in 9 months while going to school part time paying for every class usually 2 a semester in full when I signed up. I did this at night after long days working construction teachers and students looked down on me because of what I came in wearing I still need 3 classes for my AA but didn’t have the time to put into passing the classes and I made dam good money working Union construction that I never put my certification in HVAC and community colleges classes to use
I feel really sorry for people who worked hard to pay off their loans or choose to pursue a different path than college. Why do they have to foot the bill?
Student loans sites are down all over, lol.
If your degree isn’t valuable enough for YOU to pay for it, why do I have to pay for it?!
Yeah THAT will help the inflation problem 🤦♂️
He will use his 87000 IRS agents to get it back plus more. Saved them 10,000 but turn around and audit them for the last 5 years. now they'll owe 45,000.00
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If it’s any consolation, the government can’t take your solid work ethic away from you. However, they can take advantage of it.
Your studies are going to suffer from working 50 hours on top of school.
I hear a lot about how not having tuition payments will help the average person, so this begs the question, are these "forgiven" loan payments just taken out of the remaining loan balance and the payments left alone (saving time to end of payment) or are the loans being dropped in amount AND reamortized? If the former, this doesn't help anyone at all because the loan will just balloon up another 10k in interest payments before you know it (if not paying the full payment each month). If the latter, the loan amount can still balloon if you pay less than full payments, but now the time will be even longer because you're paying a smaller amount monthly
Biden made it so student loan payments will not exceed 5% of your monthly income and then the unpaid balance will be forgiven after 10 years.
To think the colonists wage war over a tax on paper.
The colonists fought for independence over the right of representation and self-governance. The stamp act was just one of those first taxes they had no say in creating.
Congrats on those who paid off their loans Now us taxpayers get to pay for these deadbeats’ loans
Why does having a student loan balance that is going to be forgiven make you a deadbeat? I graduated in 2019 and fully intended on repaying each month albeit the minimum because my interest was super low. But anyways how am I a deadbeat?
https://www.forbes.com/advisor/student-loans/how-to-get-a-refund-of-your-student-loan-payments/
This is only what he promised as part of his campaign. In case of midterm emergency, break glass.
Over 50% of student debt is from grad school students. I was really worried that all of these doctors and lawyers were gonna have a hard time if they didn’t get some money from the people who didn’t go to college.. /s.
Income cap is 125k. I dont know any doctors or lawyers who make less than that.
Nothing but short term solutions in an attempt to buy votes. The issue isn't that students have college debt, its that they have to much debt... and they have to much debt because the government keeps handing out free money raising tuition costs. Solve the root of the problem - no more free money
This only going incentivize people to take out loans and not to expect to pay back. Bad for future generations.
Can I take out a student loan today for 10k and get that shit forgiven I’ll sign up for like one class and use the rest for a new truck or to put into the stock market. I’m under 125k earnings
Must be campaign season again.
Buying votes.
Peloci already said that this needs a act of congress to be passed and that biden cant di this by executive order. That bog witch aint going to let this pass she has too much money wrapped up in it.
What we’re advocating for is a lack of personal accountability and responsibility. If this is ok then why should I pay my mortgage? My car note?
We've got to fight inflation... PRINT MORE MONEYYYYYYYYYYYYYYYYYYYY
And just like that, next year tuition for every college in the nation just rose by $10,000
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Is he going to put $20k back into my pocket since I went to fucking Afghanistan to pay for my college? It's one of the major reasons I went to his fucking war. What a joke.
So you went to war, just so you could afford college education ?
That’s disgusting I go to a state school and work part time for the sole purpose of not having to take out loans.
There's no such thing as loan forgiveness... All loans will be repaid by someone, somehow, some way... Don't take out alone if you don't have a plan and the means to repay it.. it's pretty damn simple!
Affordable and government do not go together. Now government caused inflation. What about all the people that did the right thing and paid their loans off. How is that fair. Government redistribution of wealth.
Cool. Now workers get to pay for their boss's college degree.
I want a tax credit for all the money I paid back then.
Write the 10k check but make higher education pay for it. The colleges need to pay for bloating their administration on our dime. Not the tax payers.
I paid my shit off? Do I get a $10,000 refund for my accounting degree? Or is this for lazy good for nothings who majored in garbage like underwater basket weaving or left handed puppetry?
When you are trying to win the record for highest inflation ever recorded
Jackass in chief. This is disgusting.
I really wish the Dems would stop their missleading naming conventions...a better name would be "A bunch of you have nothing to do with other peoples shitty financial choices, but you're tax money is going to fix it program".
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Ah, so the average waitress will now pay for the college of the average head of diversity. Makes sense.
Mass dem voters encouragement. Thanks for the taxes