Quantum Windbag
Gold Member
- May 9, 2010
- 58,308
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Nationalize Student Loans - Socialism
All the Republican "experts" said is was another step towards "socialism". And what was actually happening.
No. Apparently, Google doesn't either, so I don't feel bad.
Banks gave out student loans and the interest made them a fine profit. The loans were guaranteed by the US government which meant the banks had near zero risk. Basically, they simply collecting interest with no risk involved. The Republican "theory" was that banks would be "competitive" making loans competitive. Only they weren't. Simply another Republican economic theory based on "gut" feeling without actual data or study to back it up. So tired of that.
I don't remember that either, do you have another link to a google search that will turn up nothing?
So Democrats "nationalized" student loans but no one was watching because everyone was watching "Obamacare", that terrible program that helps millions of Americans.
Why is nationalized in quotes?
So what happened is that the government was giving out student loans and instead of banks making a profit for doing nothing, that interest money has been going into "Pell Grants". I love the way Democrats use creative ways to pay for helping the American Middle Class. According to Republicans, it's so "unAmerican".
That is funny.
The truth is that the interest on student loans is a wash for the government because you get to deduct it from your income tax. In fact, no one I ever read even hinted that student loan interest would pay for Pell Grants. There was an increase in Pell Grants in Obamacare, but most experts said it needed to be bigger to make a real difference.
Now this entire scenario has Republicans furious. Banks cut out of this "easy money". Terrible. That's not "capitalism", it's "socialism". How awful. This is why they want to DOUBLE interest rates. Someone has to pay for these "tax breaks" to poor billionaires. Republicans have simply discovered a "new" target.
That must be why Romney and Boehner want to keep the rates lower.
Wait, what did I just say?
This is why watching Mitt Romney talking about class size and why bigger is better was hilarious. In Republican schools, they teach, "if banks do well, America does well" except when that's not true. Mittens actually insisting a larger class size is better? Because of his "expertise" with third world and public schools no doubt. At least that's what he said.
And?
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Unless Congress intervenes, interest rates on federally-subsidized Stafford loans will double from 3.4% to 6.8% on July 1st, 2012 for over 7.4 million students. President Obama and Congressional Democrats are working to prevent this $1,000 debt increase for students by passing the Stop the Student Loan Interest Rate Hike Act. Congressional Republicans are standing in the way, filibustering the bill and pushing budget proposals that would raise rates on student loans to pay for more tax breaks for millionaires and wealthy special interests.
Republican Agenda on Student Loans? Double Interest Rates to Pay for Tax Breaks for Millionaires
And a lot of rich ex-students will have to pay an extra $10 a month for the great job they got with their education. How sad.