Forgiving Student Loans

[Bennymac17]

Or at the very least, make all student loans interest free. I'm hoping someone who disagrees with this will provide me an example of why this isn't happening.

I believe the UK went this route, starting with cutting interest out, then forgiving student loans all-together. If student loans are forgiven, I would have to believe that it would have an immediate stimulating effect on the economy. Better yet, forgive student loans and THEN raise taxes.

So what is it? Would this really destroy the banking system? Would this make loans harder for students to obtain in the future?

It would be one thing if recent graduates got the jobs/salaries they were expecting. I am in my mid-upper 20's, and along with many of my friends have a massive amount of student loan debt. Yes, we all chose to take out these loans, but not getting an education would be far worse in the long run. I am fortunate enough to have a good job, however I can not pay for shit and will just continue to get by until these loans are gone. I have to imagine that people would go out and buy cars, homes and other crazy gadgets (I know I would). Not to mention invest even more aggressively in retirement savings. It sure would be nice to have that extra $1,200 per month....

Let me just add, I have no problem repaying these loans I took out, even though it sounds like I do. But the reality of paying taxes, trying to save for retirement, buying a house, and the fact that I will have these student loans the next 20 years kind of chaps my ass. Any opinions?

:shrug:

 

[Mags]

Or at the very least, make all student loans interest free. I'm hoping someone who disagrees with this will provide me an example of why this isn't happening.

I believe the UK went this route, starting with cutting interest out, then forgiving student loans all-together. If student loans are forgiven, I would have to believe that it would have an immediate stimulating effect on the economy. Better yet, forgive student loans and THEN raise taxes.

So what is it? Would this really destroy the banking system? Would this make loans harder for students to obtain in the future?

It would be one thing if recent graduates got the jobs/salaries they were expecting. I am in my mid-upper 20's, and along with many of my friends have a massive amount of student loan debt. Yes, we all chose to take out these loans, but not getting an education would be far worse in the long run. I am fortunate enough to have a good job, however I can not pay for shit and will just continue to get by until these loans are gone. I have to imagine that people would go out and buy cars, homes and other crazy gadgets (I know I would). Not to mention invest even more aggressively in retirement savings. It sure would be nice to have that extra $1,200 per month....

Let me just add, I have no problem repaying these loans I took out, even though it sounds like I do. But the reality of paying taxes, trying to save for retirement, buying a house, and the fact that I will have these student loans the next 20 years kind of chaps my ass. Any opinions?

:shrug:

Just a simple question: if you were on the other side of this equation - if YOU provided the loan to someone else, for say $50K, and then the gov't decided that it would not be repaid, so even though you, in good faith, gave out a $50K loan, you would not get paid back, would YOU be ok with that?

If your answer is yes, then it is a great idea.

 

[ssd]

Benny:
perhaps the question here should be, "why has college tuition becomes so expensive?"


And there are ways to get your student loans forgiven.


I don't agree with the premise but I also don't agree with the cost of a college degree.

But, I don't make the rules.


Good luck.