Why is Biden extending the student loan repayment pause?

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:Pp your comment about boomers missss the larger issue. Before federal loans were so available, the cost to go was less. More federal loans and grants has only increased the cost for everyone because the new “zero” assumes you have gotten the loans. There shouldn’t be any more loans or forgiveness available until colleges and universities are forced to tighten their belts. If that doesn’t happen, all that will happen is tuition will continue to ride because the faucet if federal money will just keep flowing. College has been experiencing outpaced inflation for Decades because of the flow of federa money. We are now seeing the same issue across the economy broadly and we are upset. But the same economic forces (federal cash) have resulted in skyrocketing tuition. It wasn’t the intent but it is the outcome. And it needs to be stopped before any more money flows.

I agree that colleges should be held responsible and tighten their belts. But that would require a bipartisan solution and the GOP isn't playing ball on anything, since they are in the pocket of scam for-profit colleges and behemoth student loan churners like Liberty University.

The solution would be requiring colleges to hold risk retention on 10% of the loans they originate so that students, colleges, and the US taxpayers have aligned incentives. Then make a requirement that participation in federal student loans requires a freeze on tuition and fees for 5 years, after which cost may increase in line with inflation.

The 5 years of budget tightening will drastically downsize the mid-level administrators, plus the bloated salaries for university presidents and major sports coaches.

Colleges are already rewarded or dinged on their cohort default rate. I’d argue that should be more severe.

I am pretty sure the colleges with the worst default rates are local community colleges (no admissions bar) and local regional/commuter public universities (very low admissions bar). If you try to force them to raise their admissions bar you're going to get viral cries of racism very, very quickly.

I don’t think true. Tuition at community colleges is often less than the Pell Grants so for many families, there’s no loan at all. There are also many institutional grants available snd many states offer free community college programs. Community colleges also house do many workforce training programs that a kid can transition to if they decide to leave a credit program.

You are wrong. Jill Biden's community college costs $23,000 per yr all-in. Pell Grant is only $640 to $6,400, if you even qualify for it. Millions of low and middle class community college alums have federal student loan debt. Most of them didn't even earn an associate's degree or credential.

About $18K of that is living expenses.

Most voters would be totally fine with forgiving $10-20K of student loan debt, but not expensive graduate degrees. The biggest problem with any proposal to forgive all student loan debt is that there's absolutely nothing happening for those kids that haven't started school at all. It's a terrible solution to wipe out debt for one group of people and then have another group accumulate debt a year later. And don't say Congress will fix it because that's obviously not happening.

Make community college free for two years for all or you can take the $10K that community college would have cost and apply it to an in-state public school. Provide extra supplements for transportation costs/food etc, to families who really need it, increase the Pell grant system, decrease interest rates for outstanding and new loans, and forgive $10-20K is a viable solution, but only if it's part of a package deal.

Most voters are absolutely against loan forgiveness.

I know, but I think most voters could stomach $10k of debt being removed if it was coupled with sensible policies moving forward.

No, we wouldn't.
Most voters never went to college. And, many who did scrimped and saved to pay their loans.

+1 Biden is trying to buy the votes of a very small percentage of Americans at the expense of the vast majority. The vey idea of loan forgiveness is absurd. Change the regulations and allow the deadbeats to file for bankruptcy and be held accountable for their idiotic life choices.

I'd go for that. People walked away from their underwater mortgages 14 years ago. Allow people to walk away from their huge student loans (which they assumed of their own free will), and let them bear the consequences of a bankruptcy instead of shifting responsibility for their poor choices to taxpayers.

Let the lending institutions bear the consequences of predatory lending. Also, such a move will force the lending institutions to tighten loan requirements moving forward.

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:Pp your comment about boomers missss the larger issue. Before federal loans were so available, the cost to go was less. More federal loans and grants has only increased the cost for everyone because the new “zero” assumes you have gotten the loans. There shouldn’t be any more loans or forgiveness available until colleges and universities are forced to tighten their belts. If that doesn’t happen, all that will happen is tuition will continue to ride because the faucet if federal money will just keep flowing. College has been experiencing outpaced inflation for Decades because of the flow of federa money. We are now seeing the same issue across the economy broadly and we are upset. But the same economic forces (federal cash) have resulted in skyrocketing tuition. It wasn’t the intent but it is the outcome. And it needs to be stopped before any more money flows.

I agree that colleges should be held responsible and tighten their belts. But that would require a bipartisan solution and the GOP isn't playing ball on anything, since they are in the pocket of scam for-profit colleges and behemoth student loan churners like Liberty University.

The solution would be requiring colleges to hold risk retention on 10% of the loans they originate so that students, colleges, and the US taxpayers have aligned incentives. Then make a requirement that participation in federal student loans requires a freeze on tuition and fees for 5 years, after which cost may increase in line with inflation.

The 5 years of budget tightening will drastically downsize the mid-level administrators, plus the bloated salaries for university presidents and major sports coaches.

Colleges are already rewarded or dinged on their cohort default rate. I’d argue that should be more severe.

I am pretty sure the colleges with the worst default rates are local community colleges (no admissions bar) and local regional/commuter public universities (very low admissions bar). If you try to force them to raise their admissions bar you're going to get viral cries of racism very, very quickly.

I don’t think true. Tuition at community colleges is often less than the Pell Grants so for many families, there’s no loan at all. There are also many institutional grants available snd many states offer free community college programs. Community colleges also house do many workforce training programs that a kid can transition to if they decide to leave a credit program.

You are wrong. Jill Biden's community college costs $23,000 per yr all-in. Pell Grant is only $640 to $6,400, if you even qualify for it. Millions of low and middle class community college alums have federal student loan debt. Most of them didn't even earn an associate's degree or credential.

About $18K of that is living expenses.

Most voters would be totally fine with forgiving $10-20K of student loan debt, but not expensive graduate degrees. The biggest problem with any proposal to forgive all student loan debt is that there's absolutely nothing happening for those kids that haven't started school at all. It's a terrible solution to wipe out debt for one group of people and then have another group accumulate debt a year later. And don't say Congress will fix it because that's obviously not happening.

Make community college free for two years for all or you can take the $10K that community college would have cost and apply it to an in-state public school. Provide extra supplements for transportation costs/food etc, to families who really need it, increase the Pell grant system, decrease interest rates for outstanding and new loans, and forgive $10-20K is a viable solution, but only if it's part of a package deal.

Most voters are absolutely against loan forgiveness.

I know, but I think most voters could stomach $10k of debt being removed if it was coupled with sensible policies moving forward.

No, we wouldn't.
Most voters never went to college. And, many who did scrimped and saved to pay their loans.

+1 Biden is trying to buy the votes of a very small percentage of Americans at the expense of the vast majority. The vey idea of loan forgiveness is absurd. Change the regulations and allow the deadbeats to file for bankruptcy and be held accountable for their idiotic life choices.

I'd go for that. People walked away from their underwater mortgages 14 years ago. Allow people to walk away from their huge student loans (which they assumed of their own free will), and let them bear the consequences of a bankruptcy instead of shifting responsibility for their poor choices to taxpayers.

Let the lending institutions bear the consequences of predatory lending. Also, such a move will force the lending institutions to tighten loan requirements moving forward.

And it will bring down the cost of college.

[Anonymous]

Anonymous wrote:

Anonymous wrote:Yeah. This is a crappy bandaid not a fix.
Let them discharge their debt.
Lenders will stop giving money away like free candy.
Colleges will no longer have a limitless revenue stream
Trade schools need to be emphasized starting in high school.
Businesses need to be financially responsible for training their workforce
Families shouldn’t be shouldering all of the burden as they are now.

They are. We’ve got Phelps and Edison here in the DC area at least. Until UMC families are willing to send their kids to them why should anyone else? Also, right wing pundits send their kids to elite liberal colleges to major in history or English.

Because trade school is a better route for most kids. That’s why. College shouldn’t be for all.
UMC families have more options. That’s life.

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:Yeah. This is a crappy bandaid not a fix.
Let them discharge their debt.
Lenders will stop giving money away like free candy.
Colleges will no longer have a limitless revenue stream
Trade schools need to be emphasized starting in high school.
Businesses need to be financially responsible for training their workforce
Families shouldn’t be shouldering all of the burden as they are now.

They are. We’ve got Phelps and Edison here in the DC area at least. Until UMC families are willing to send their kids to them why should anyone else? Also, right wing pundits send their kids to elite liberal colleges to major in history or English.

Because trade school is a better route for most kids. That’s why. College shouldn’t be for all.
UMC families have more options. That’s life.

ALL kids should have those options.

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:Yeah. This is a crappy bandaid not a fix.
Let them discharge their debt.
Lenders will stop giving money away like free candy.
Colleges will no longer have a limitless revenue stream
Trade schools need to be emphasized starting in high school.
Businesses need to be financially responsible for training their workforce
Families shouldn’t be shouldering all of the burden as they are now.

They are. We’ve got Phelps and Edison here in the DC area at least. Until UMC families are willing to send their kids to them why should anyone else? Also, right wing pundits send their kids to elite liberal colleges to major in history or English.

Because trade school is a better route for most kids. That’s why. College shouldn’t be for all.
UMC families have more options. That’s life.

ALL kids should have those options.

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:Yeah. This is a crappy bandaid not a fix.
Let them discharge their debt.
Lenders will stop giving money away like free candy.
Colleges will no longer have a limitless revenue stream
Trade schools need to be emphasized starting in high school.
Businesses need to be financially responsible for training their workforce
Families shouldn’t be shouldering all of the burden as they are now.

They are. We’ve got Phelps and Edison here in the DC area at least. Until UMC families are willing to send their kids to them why should anyone else? Also, right wing pundits send their kids to elite liberal colleges to major in history or English.

Because trade school is a better route for most kids. That’s why. College shouldn’t be for all.
UMC families have more options. That’s life.

ALL kids should have those options.

Sure. But they don’t. We need to work within the system we have and create the best path for a good life for all kids.

[Anonymous]

bump

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:Yeah. This is a crappy bandaid not a fix.
Let them discharge their debt.
Lenders will stop giving money away like free candy.
Colleges will no longer have a limitless revenue stream
Trade schools need to be emphasized starting in high school.
Businesses need to be financially responsible for training their workforce
Families shouldn’t be shouldering all of the burden as they are now.

They are. We’ve got Phelps and Edison here in the DC area at least. Until UMC families are willing to send their kids to them why should anyone else? Also, right wing pundits send their kids to elite liberal colleges to major in history or English.

Because trade school is a better route for most kids. That’s why. College shouldn’t be for all.
UMC families have more options. That’s life.

You just admitted that you think trade school is for the poor kids, and that they should be routed to that young, while UMC kids should go to college and make $$$$$.

Got it.

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:Yeah. This is a crappy bandaid not a fix.
Let them discharge their debt.
Lenders will stop giving money away like free candy.
Colleges will no longer have a limitless revenue stream
Trade schools need to be emphasized starting in high school.
Businesses need to be financially responsible for training their workforce
Families shouldn’t be shouldering all of the burden as they are now.

They are. We’ve got Phelps and Edison here in the DC area at least. Until UMC families are willing to send their kids to them why should anyone else? Also, right wing pundits send their kids to elite liberal colleges to major in history or English.

Because trade school is a better route for most kids. That’s why. College shouldn’t be for all.
UMC families have more options. That’s life.

You just admitted that you think trade school is for the poor kids, and that they should be routed to that young, while UMC kids should go to college and make $$$$$.

Got it.

No. I didn’t. But you have a chip on your shoulder and are going to have a hard time with this discussion.

[Anonymous]

If your parents paid for your degree and you’re against student loan forgiveness, you’re not going to convince me.

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:Pp your comment about boomers missss the larger issue. Before federal loans were so available, the cost to go was less. More federal loans and grants has only increased the cost for everyone because the new “zero” assumes you have gotten the loans. There shouldn’t be any more loans or forgiveness available until colleges and universities are forced to tighten their belts. If that doesn’t happen, all that will happen is tuition will continue to ride because the faucet if federal money will just keep flowing. College has been experiencing outpaced inflation for Decades because of the flow of federa money. We are now seeing the same issue across the economy broadly and we are upset. But the same economic forces (federal cash) have resulted in skyrocketing tuition. It wasn’t the intent but it is the outcome. And it needs to be stopped before any more money flows.

I agree that colleges should be held responsible and tighten their belts. But that would require a bipartisan solution and the GOP isn't playing ball on anything, since they are in the pocket of scam for-profit colleges and behemoth student loan churners like Liberty University.

The solution would be requiring colleges to hold risk retention on 10% of the loans they originate so that students, colleges, and the US taxpayers have aligned incentives. Then make a requirement that participation in federal student loans requires a freeze on tuition and fees for 5 years, after which cost may increase in line with inflation.

The 5 years of budget tightening will drastically downsize the mid-level administrators, plus the bloated salaries for university presidents and major sports coaches.

Colleges are already rewarded or dinged on their cohort default rate. I’d argue that should be more severe.

I am pretty sure the colleges with the worst default rates are local community colleges (no admissions bar) and local regional/commuter public universities (very low admissions bar). If you try to force them to raise their admissions bar you're going to get viral cries of racism very, very quickly.

I don’t think true. Tuition at community colleges is often less than the Pell Grants so for many families, there’s no loan at all. There are also many institutional grants available snd many states offer free community college programs. Community colleges also house do many workforce training programs that a kid can transition to if they decide to leave a credit program.

You are wrong. Jill Biden's community college costs $23,000 per yr all-in. Pell Grant is only $640 to $6,400, if you even qualify for it. Millions of low and middle class community college alums have federal student loan debt. Most of them didn't even earn an associate's degree or credential.

About $18K of that is living expenses.

Most voters would be totally fine with forgiving $10-20K of student loan debt, but not expensive graduate degrees. The biggest problem with any proposal to forgive all student loan debt is that there's absolutely nothing happening for those kids that haven't started school at all. It's a terrible solution to wipe out debt for one group of people and then have another group accumulate debt a year later. And don't say Congress will fix it because that's obviously not happening.

Make community college free for two years for all or you can take the $10K that community college would have cost and apply it to an in-state public school. Provide extra supplements for transportation costs/food etc, to families who really need it, increase the Pell grant system, decrease interest rates for outstanding and new loans, and forgive $10-20K is a viable solution, but only if it's part of a package deal.

NOVA CC is $8,000/year in tuition alone.

I’m in MD and the community colleges here are around $5k. The tuition and fees I’m seeing online are $185 credit hour which works out to $5500 for 30 credits. If it’s really $8k for NOVA CC then that’s on VA or the school itself.

[Anonymous]

Anonymous wrote:If your parents paid for your degree and you’re against student loan forgiveness, you’re not going to convince me.

So you want help now at the expense of your own kids.

[Anonymous]

Anonymous wrote:

Anonymous wrote:If your parents paid for your degree and you’re against student loan forgiveness, you’re not going to convince me.

So you want help now at the expense of your own kids.

I don’t have any student loans. -PP

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:If your parents paid for your degree and you’re against student loan forgiveness, you’re not going to convince me.

So you want help now at the expense of your own kids.

I don’t have any student loans. -PP

Let me rephrase then:
You want to help people now, at the expense of all that come after.

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:Pp your comment about boomers missss the larger issue. Before federal loans were so available, the cost to go was less. More federal loans and grants has only increased the cost for everyone because the new “zero” assumes you have gotten the loans. There shouldn’t be any more loans or forgiveness available until colleges and universities are forced to tighten their belts. If that doesn’t happen, all that will happen is tuition will continue to ride because the faucet if federal money will just keep flowing. College has been experiencing outpaced inflation for Decades because of the flow of federa money. We are now seeing the same issue across the economy broadly and we are upset. But the same economic forces (federal cash) have resulted in skyrocketing tuition. It wasn’t the intent but it is the outcome. And it needs to be stopped before any more money flows.

I agree that colleges should be held responsible and tighten their belts. But that would require a bipartisan solution and the GOP isn't playing ball on anything, since they are in the pocket of scam for-profit colleges and behemoth student loan churners like Liberty University.

The solution would be requiring colleges to hold risk retention on 10% of the loans they originate so that students, colleges, and the US taxpayers have aligned incentives. Then make a requirement that participation in federal student loans requires a freeze on tuition and fees for 5 years, after which cost may increase in line with inflation.

The 5 years of budget tightening will drastically downsize the mid-level administrators, plus the bloated salaries for university presidents and major sports coaches.

Colleges are already rewarded or dinged on their cohort default rate. I’d argue that should be more severe.

I am pretty sure the colleges with the worst default rates are local community colleges (no admissions bar) and local regional/commuter public universities (very low admissions bar). If you try to force them to raise their admissions bar you're going to get viral cries of racism very, very quickly.

I don’t think true. Tuition at community colleges is often less than the Pell Grants so for many families, there’s no loan at all. There are also many institutional grants available snd many states offer free community college programs. Community colleges also house do many workforce training programs that a kid can transition to if they decide to leave a credit program.

You are wrong. Jill Biden's community college costs $23,000 per yr all-in. Pell Grant is only $640 to $6,400, if you even qualify for it. Millions of low and middle class community college alums have federal student loan debt. Most of them didn't even earn an associate's degree or credential.

About $18K of that is living expenses.

Most voters would be totally fine with forgiving $10-20K of student loan debt, but not expensive graduate degrees. The biggest problem with any proposal to forgive all student loan debt is that there's absolutely nothing happening for those kids that haven't started school at all. It's a terrible solution to wipe out debt for one group of people and then have another group accumulate debt a year later. And don't say Congress will fix it because that's obviously not happening.

Make community college free for two years for all or you can take the $10K that community college would have cost and apply it to an in-state public school. Provide extra supplements for transportation costs/food etc, to families who really need it, increase the Pell grant system, decrease interest rates for outstanding and new loans, and forgive $10-20K is a viable solution, but only if it's part of a package deal.

NOVA CC is $8,000/year in tuition alone.

I’m in MD and the community colleges here are around $5k. The tuition and fees I’m seeing online are $185 credit hour which works out to $5500 for 30 credits. If it’s really $8k for NOVA CC then that’s on VA or the school itself.

Yes, and? It’s pretty awful. As I’m sure you’re aware, most 18 year olds don’t have $5,000/year x 4+ years lying around.