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The Federal Government´s Student-Loan Fraud
Investor´s Business Daily, by Staff

Original Article

Posted By:RockyTCB, 3/20/2017 8:19:07 AM

Education: President Obama had a great idea back in 2010: nationalize the student loan program, and its problems would soon go away. It didn´t happen. Instead, more people are refusing to pay their student loans than ever before. In a study released last week, the Consumer Federation of America found that millions of people were in arrears on $137 billion in federal student loans in the first nine months of 2016, an increase of 14% from 2015. All told, the federal government´s portfolio of student loans now stands at a whopping $1.3 trillion. As the Washington Post notes, "What´s striking about the

      


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Reply 1 - Posted by: hershey, 3/20/2017 8:31:36 AM     (No. 11195425)

Debtors Prison????

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Reply 2 - Posted by: southernboy, 3/20/2017 8:36:33 AM     (No. 11195429)

I know a young 20-something couple, both just received their Masters after four years living on student loans. Drove a nice car, lived in an up-scale apartment all during their schooling. Now they both have pretty good jobs and are shocked they each have $600 a month student loan payments to make on a (combined) $200,000 student loan. It will take them 30 years to pay it off! if then! Speaking of screwing up your life!!!



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Reply 3 - Posted by: Rather Read, 3/20/2017 8:45:54 AM     (No. 11195441)

When my daughter went to college, she got a job and I got a second job. She also got a grant. With all that, she graduated not owing anything (although we were both worn out at the end of it). Her husband isn´t so lucky. He still has his student debt. It isn´t HUGE, but it´s still there and will be for a while.

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Reply 4 - Posted by: Maggie2u, 3/20/2017 8:50:57 AM     (No. 11195447)

Two things. First, if they demand free college, I demand the government pay my mortgage.
Second, If you want a free college education, ENLIST!

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Reply 5 - Posted by: Wetenschapper, 3/20/2017 9:19:32 AM     (No. 11195479)

To a large extent, it´s as much the fault of the educational system as the deadbeat students it so eagerly recruited. By grossly overcharging for tuition with the complicity of the student-loan program (hey, it´s only somebody else´s money - isn´t it??) they´re as much to blame for the massive debt as those who took out the loans. The universities should be responsible for paying back half the loan money that they charged for the mediocre education they provided.

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Reply 6 - Posted by: Salt5792, 3/20/2017 9:20:59 AM     (No. 11195482)

Any problem that the government touches, gets worse.

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Reply 7 - Posted by: padiva, 3/20/2017 9:24:42 AM     (No. 11195485)

My loans were paid off before the kids came along.

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Reply 8 - Posted by: FL_Absentee_Voter, 3/20/2017 11:38:58 AM     (No. 11195645)

Getting a student loan should parallel that of business or any other loans. STEM majors, who stand a better chance of obtaining decent employment and repaying the loans should be given preference. Black Lesbian Studies? Sorry.

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Reply 9 - Posted by: seamusm, 3/20/2017 12:10:24 PM     (No. 11195680)

As the dad of multiple kids, I was on intimate terms with Sallie Mae. Other than the confusing loan application forms the payback process was reasonably straight-forward. But once the federal camel stuck its nose under the tent, the process became unbearable. Thank God, I am out from under but I pray for those still in thrall to a government process that is every bit as inefficient as everything else the feds try to manage.

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Reply 10 - Posted by: Rumblehog, 3/20/2017 12:11:06 PM     (No. 11195681)

Banks used to never loan money to ´credit risks´ and students for sure fit that category. What the Feds REALLY wanted was to have every kid on the big fat hook financially, along with health-wise in order to turn us into a totally Orwellian State. Total domination and control was the objective, and it´s almost achieved.

Oh, by the way, if those kids with massive student loan debt just ´submit´ and go work for the Federal Government, then they can write off the debt faster than if they were working in the private sector. Whatever happened to that silly little "Equal Protection" clause of the Constitution??

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Reply 11 - Posted by: retiree, 3/20/2017 12:30:06 PM     (No. 11195718)

The years when all we heard was that kids had to have a college education and they beleived it. So the borrowing began. My son one of them. He was learning on the job and hardly any of the college experience helped him as he already knew how to do the jobs. But he couldn´t get a job without that degree. We were not financially able to help him so he went with the loans. After the degree he got a job but it not paying what he needed to live and make the payments. And so it goes. He was a younger one hired so they didn´t have to pay one that had worked their way up to top wage. Now he´s bound by loans that will take many years to pay off. A good chance he too will be replaced some day for someone cheaper.

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Reply 12 - Posted by: watashiyo, 3/20/2017 1:22:09 PM     (No. 11195779)

Welfare recipient took their family(4) on a trip to Disneyland using student loan. ...from HAWAII! Also used the student loan to see their kids baseball tournament out of state! And you and I paid for it!!!

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Reply 13 - Posted by: greggojo, 3/20/2017 1:34:47 PM     (No. 11195792)

At our local (very good btw) community college, students apply for the loan, sign up for the minimum number of units to qualify for the loan, rarely attend class (never for classes that have no sign-in sheet), wait till they get their loan check, drop all their classes, and then repeat the next semester. They are sort of living on their loans, doing very little (some get part time jobs) but doing a lot of traveling, hanging out, going to rock shows, having fun. And not worrying about their futures.

The moment I heard about Obama´s scheme to have the feds take over the student loan program, everything that has happened since: increased fraud, more corruption, tuition increases, increased rates of non-repayment of these loans, enormous spike in debt being carried by the govt.(i.e. taxpayers) was pre-ordained. Do Democrats do anything good for the people or for America? Absolutely not.

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