Obama's Student Loan Solution

[KMAN]

Yale Daily News - Obama outlines student loan overhaul

 

[DiamondDave]

Again.. not the job of government to mommy this for adults who are responsible for their own choices, debts, loans, earnings, etc...

But Obama loves the opportunity to try and buy some votes at taxpayer expense

 

[busara]

Again.. not the job of government to mommy this for adults who are responsible for their own choices, debts, loans, earnings, etc...

But Obama loves the opportunity to try and buy some votes at taxpayer expense

how exactly would this plan cost us money? from the article, it basically just looks like he wants the govt to offer up more in loans for students. it would be paid back.

not saying he should do it, just dont see how it would cost us

 

[DiamondDave]

It is not the job of govt... #1

If you think the govt does this without a huge bureaucracy behind it, costing us more and more, you are sadly mistaken... #2

Guaranteed student loans, much like many of the CRA guaranteed housing loans, are more risky and more times bad investment.. and will lead to more problems... #3

It will cost us

 

[WillowTree]

in just a matter of moments it will become. pay it back? are you crazy? you shouldn't have loaned it to them in the first place.

 

[rayboyusmc]

But Obama loves the opportunity to try and buy some votes at taxpayer expense

Just like McCain and all the other politicians?

 

[editec]

Ireland is now an economic powerhouse. Possibly the healthiest economy in EUROPE

Thirty years ago the place was a pit economically

Want to know how they did it?

Decreasing taxes on businesses AND investing heavily in FREE EDUCATION for their children.

America became the wealthiest most productive place in the world post WWII.

Does the term VETERANS EDCUATIONAL BENEFITS ring any bells?

Guess what?

Veterans today don't get anything like the help the WWII and Korean VETS got. It's not even close.

You don't suppose that having an educated public might have any effect on the nation's economy or anything do you?

 

[DiamondDave]

Ireland is now an economic powerhouse. Possibly the healthiest economy in EUROPE

Thirty years ago the place was a pit economically

Want to know how they did it?

Decreasing taxes on businesses AND investing heavily in FREE EDUCATION for their children.

America became the wealthiest most productive place in the world post WWII.

Does the term VETERANS EDCUATIONAL BENEFITS ring any bells?

Guess what?

Veterans today don't get anything like the help the WWII and Korean VETS got. It's not even close.

You don't suppose that having an educated public might have any effect on the nation's economy or anything do you?

Children... NOT ADULTS... when you are an ADULT you are PERSONALLY RESPONSIBLE FOR YOURSELF....

As for benefits for employment... much different than 'free' education or government funded loans/grants/handouts for adults for education

 

[Jon]

So now he wants the federal government to be the one funds all theses student loans? First we buy off bad mortgages, now we're going to make bad loans to 18 year old kids.

Fuck this guy. I have no problem having a bank between me and my student loans. My interest rates are at 3%. Shit, I borrow the max amount of student loans and put it into my checking account that earns 4.25%. I'm EARNING money on my student loans.

Cutting banks out of student loans doesn't do a fucking thing to reduce the cost of education. Tuition prices are set by the universities, and if it's a public university, it's set by that state. It has abso-fucking-lutely nothing to do with loans.

What else will this guy do for votes?

 

[jillian]

So now he wants the federal government to be the one funds all theses student loans? First we buy off bad mortgages, now we're going to make bad loans to 18 year old kids.

Fuck this guy. I have no problem having a bank between me and my student loans. My interest rates are at 3%. Shit, I borrow the max amount of student loans and put it into my checking account that earns 4.25%. I'm EARNING money on my student loans.

Cutting banks out of student loans doesn't do a fucking thing to reduce the cost of education. Tuition prices are set by the universities, and if it's a public university, it's set by that state. It has abso-fucking-lutely nothing to do with loans.

What else will this guy do for votes?

I had a student loan backed by government. I'm not sure what your point is because I'm not sure why you think student loans are a bad investment. I know that student loans are one of the few things that aren't dischargeable in bankruptcy. I know that they can garnish your paycheck and put liens on your property and attach your bank accounts if you don't pay.

 

[Jon]

I had a student loan backed by government. I'm not sure what your point is because I'm not sure why you think student loans are a bad investment. I know that student loans are one of the few things that aren't dischargeable in bankruptcy. I know that they can garnish your paycheck and put liens on your property and attach your bank accounts if you don't pay.

Most student loans are backed by the government, but they all go through banks. It's one of the ways we boost our economy: by allowing banks to charge us interest on our student loans.

Student loans can also be paid off over the course of years and years and years. If the government lended this money directly, we'd be carrying these loans on the federal books for way too long.

I noticed the date on this article was May of last year. Like everything else, I'm sure Obama has flipped on this issue by now.

 

[editec]

If Obama's plan is to make the government fund people's education but NOT to INCREASE THE AMOUNT OF EDCUATION out there to BUY, then it is a foolish plan.

Any time we throw money at the demand side of a problem, without increasing the supply side of that problem (as we've done with health care, for example) the market prices increase until all the excess available funds are gone.

Market forces will PREVAIL.

There's no shortage of educated people who can't find work.

Open more damned colleges and employ those people THEN give the people FREE EDUCATION if that seems warranted.

The problem is that in the diciplines that we truly value at this time, there are too few people qualified to teach those subjects who can't make more money working in the business side.

We could still solve this by luring the already qualified people in other nations, though.

The thing is we need to have more classrooms and we have to accept that the benefits of this social policy aren't going to come back to us for a generation or so.

This society has given up thinking in the longer term.

 

[busara]

do we have data showing that student loans are 'risky?' and the govt would be earning interest on these, which would pay for the 'huge beauocracy.'

sanders, when'd you get those loans? mine, taken out from 04-07, have interest rates closer to 5%

 

[DiamondDave]

do we have data showing that student loans are 'risky?' and the govt would be earning interest on these, which would pay for the 'huge beauocracy.'

sanders, when'd you get those loans? mine, taken out from 04-07, have interest rates closer to 5%

You think a govt organization runs at a 3-5% overhead


LOL

 

[Jon]

do we have data showing that student loans are 'risky?' and the govt would be earning interest on these, which would pay for the 'huge beauocracy.'

sanders, when'd you get those loans? mine, taken out from 04-07, have interest rates closer to 5%

My earliest loans date back to 02, they're around 5%. The ones I took out last year were at 3%. I don't even know what this year was at, I didn't bother looking.

 

[busara]

You think a govt organization runs at a 3-5% overhead


LOL

thanks for not answering the question and making another statement without any evidence. im seeing if you can SHOW this would cost us a ton of money. not an unsubstantiated opinon that it wont

 

[DiamondDave]

thanks for not answering the question and making another statement without any evidence. im seeing if you can SHOW this would cost us a ton of money. not an unsubstantiated opinon that it wont

Honestly... you really think 3-5% will pay for the amount of govt red tape, organizations, etc??

The logic behind that is more sound than thinking that it will be profitable for the government.. there is only 1 single government entity that used to show a profit... and that WAS the post office...

And if you guarantee student loans to those who do not have the credit standing to get them normally... that INHERENTLY is more risky

It is simple rational and logical thought and deduction

 

[busara]

Honestly... you really think 3-5% will pay for the amount of govt red tape, organizations, etc??

The logic behind that is more sound than thinking that it will be profitable for the government.. there is only 1 single government entity that used to show a profit... and that WAS the post office...

And if you guarantee student loans to those who do not have the credit standing to get them normally... that INHERENTLY is more risky

when did obama say he would give loans to those who couldnt get them normally? and i'm not asking what you or i think. im asking if you can show student loans have a high level of default which makes them risky, or that you can show the program is guaranteed to lose more money than it would bring in through interest rates. are there other govt loan programs out there which are losing money?

It is simple rational and logical thought and deduction

just another way of saying that you can't or wont back it up.

why is it always so hard to get an answer for a question? im just looking for information, not blanket statements.

 

[jusstyjonesy]

I've managed to make it through school with only one loan paid back in a month. It sucks work, school, and departmental scholarships. Not easy but it can be done, and the more people that do that the lower tuition will be without government subsidies propping them up.

I love how leftists complain about oil and health care companies price gouging, but not a word for university tuition.