Why is Biden extending the student loan repayment pause?

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:There are pockets of really low-income areas in the US, far from any major city or good jobs. And you could say, why don't they just move? Well, the answer is that them selling their house that is worth $60k in 2022 and saving up their $60,000/year household income isn't going to get them very far trying to move to a jobs-rich area like NoVA, NYC, or even Chicago. Globalization, and a lack of economic adaptation Annihilated the rust belt. My hometown, which was once one of the most populous and prosperous municipalities in the United States, had an average household income of $56,000, as of the 2020 census. The per-capita income is roughly half that. The median income there is even lower. Regardless, they are not participating in the modern economy. Now you see why people use student loans to desperately escape such a place (I fortunately do not have any loans now).

So back to the topic of college pricing. The factory jobs are gone, and they are never coming back. College, whether a liberal arts one or trade one, or military are basically the only viable options for most people. And trade school isn't free!

Trade school is cheaper and usually faster than traditional college and usually provides a practical education in which a job is readily available.

And is hard on the body and almost never results in quite high of an income as professional jobs.

Hard on the body?
I know plumbers and mechanics who make a pretty damn good living. Better than some "professionals" I know.

The trades are a fantastic choice for lots of people (more people than choose them probably), but yeah, most of them are hard on your body. Go check out a forum for plumbers and people will freely admit that. No reason not to become a plumber, but it's something to consider.

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:There are pockets of really low-income areas in the US, far from any major city or good jobs. And you could say, why don't they just move? Well, the answer is that them selling their house that is worth $60k in 2022 and saving up their $60,000/year household income isn't going to get them very far trying to move to a jobs-rich area like NoVA, NYC, or even Chicago. Globalization, and a lack of economic adaptation Annihilated the rust belt. My hometown, which was once one of the most populous and prosperous municipalities in the United States, had an average household income of $56,000, as of the 2020 census. The per-capita income is roughly half that. The median income there is even lower. Regardless, they are not participating in the modern economy. Now you see why people use student loans to desperately escape such a place (I fortunately do not have any loans now).

So back to the topic of college pricing. The factory jobs are gone, and they are never coming back. College, whether a liberal arts one or trade one, or military are basically the only viable options for most people. And trade school isn't free!

Trade school is cheaper and usually faster than traditional college and usually provides a practical education in which a job is readily available.

And is hard on the body and almost never results in quite high of an income as professional jobs.

Hard on the body?
I know plumbers and mechanics who make a pretty damn good living. Better than some "professionals" I know.

The trades are a fantastic choice for lots of people (more people than choose them probably), but yeah, most of them are hard on your body. Go check out a forum for plumbers and people will freely admit that. No reason not to become a plumber, but it's something to consider.

That’s great.

I don’t like when “those kids should go to trade school” is used as an excuse to not make college more affordable and accessible, when most of the people saying that want to thin the field of kids that their kids will have to compete against for desk jobs.

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:There are pockets of really low-income areas in the US, far from any major city or good jobs. And you could say, why don't they just move? Well, the answer is that them selling their house that is worth $60k in 2022 and saving up their $60,000/year household income isn't going to get them very far trying to move to a jobs-rich area like NoVA, NYC, or even Chicago. Globalization, and a lack of economic adaptation Annihilated the rust belt. My hometown, which was once one of the most populous and prosperous municipalities in the United States, had an average household income of $56,000, as of the 2020 census. The per-capita income is roughly half that. The median income there is even lower. Regardless, they are not participating in the modern economy. Now you see why people use student loans to desperately escape such a place (I fortunately do not have any loans now).

So back to the topic of college pricing. The factory jobs are gone, and they are never coming back. College, whether a liberal arts one or trade one, or military are basically the only viable options for most people. And trade school isn't free!

Trade school is cheaper and usually faster than traditional college and usually provides a practical education in which a job is readily available.

And is hard on the body and almost never results in quite high of an income as professional jobs.

Arguable college never provides a high income outside of engineering. The average trade school salary is $45k and the average college educated salary is 65k. Neither of these incomes are terribly high and if you go to college you'll have to decide if the extra income per year is worth the time and possibly 100's of thousands of dollars worth of debt. If you go to college or trade school to make a high income usually you'll need to either go further in you education (more money and time) or be entrepreneurial.

[Anonymous]

Anonymous wrote:Reward deadbeat losers by all means and you’ll see the results at the ballot box in November. Back to back buffoon presidents…..well done America!!!

Can you describe the category of people you are describing when you use this phrase?

[Anonymous]

Remember how Democrats sold their student loan takeover as a money-saver? Now millions of borrowers can’t or don’t want to repay their loans, so President Biden says he may cancel their debt. The taxpayers who repaid their loans or didn’t go to college will pay instead.

The Administration has repeatedly extended what was supposed to be a temporary pause on student loan payments and interest accrual. This reprieve has cost the government $100 billion and counting—money that Congress hasn’t appropriated. Now Democrats want Mr. Biden to compound the damage to taxpayers and the Constitution by writing off loans by presidential fiat.

Federal student loans were established as part of the Great Society to help low-income students. Yet step by step, Democrats have turned student loans into an entitlement for academia and the affluent. Rather than make college free on the front end—which might have failed to pass Congress—they want to waive the costs at the back end.

As the loan limit increased over time—now $57,500 a year for independent undergrads and $31,000 for those dependent on their parents—colleges raised their prices to sop up more federal largesse. It doesn’t matter to the schools if their philosophy grads work as baristas.

In 2010 Democrats nationalized the student loan market, eliminating guarantee fees for private lenders and using the “savings” to pay for ObamaCare. They also created income-based repayment plans, allowing future borrowers to limit monthly payments to 10% of their discretionary income and discharge their remaining debt after 10 to 20 years.

The Obama Administration expanded these plans to older borrowers. Democrats claimed the plans would reduce defaults and the cost of the loan program. They didn’t. About five million borrowers owing $110 billion are in default, up from 2.1 million owing $31 billion in 2013. Fewer than half of borrowers were even paying down loans before the pandemic.

Because some don’t earn enough to make a dent in their principal, their balances have accrued interest and grown. About one-quarter of all college grads earn less than $30,000 a year, and one in seven makes less than the poverty line, according to a recent survey. College grads without marketable skills or degrees often wind up working low-end jobs.

https://www.wsj.com/articles/the-taxpayer-con-of-the-century-student-loans-cancel-biden-administration-education-college-11651268998

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:There are pockets of really low-income areas in the US, far from any major city or good jobs. And you could say, why don't they just move? Well, the answer is that them selling their house that is worth $60k in 2022 and saving up their $60,000/year household income isn't going to get them very far trying to move to a jobs-rich area like NoVA, NYC, or even Chicago. Globalization, and a lack of economic adaptation Annihilated the rust belt. My hometown, which was once one of the most populous and prosperous municipalities in the United States, had an average household income of $56,000, as of the 2020 census. The per-capita income is roughly half that. The median income there is even lower. Regardless, they are not participating in the modern economy. Now you see why people use student loans to desperately escape such a place (I fortunately do not have any loans now).

So back to the topic of college pricing. The factory jobs are gone, and they are never coming back. College, whether a liberal arts one or trade one, or military are basically the only viable options for most people. And trade school isn't free!

Trade school is cheaper and usually faster than traditional college and usually provides a practical education in which a job is readily available.

And is hard on the body and almost never results in quite high of an income as professional jobs.

Hard on the body?
I know plumbers and mechanics who make a pretty damn good living. Better than some "professionals" I know.

The trades are a fantastic choice for lots of people (more people than choose them probably), but yeah, most of them are hard on your body. Go check out a forum for plumbers and people will freely admit that. No reason not to become a plumber, but it's something to consider.

That’s great.

I don’t like when “those kids should go to trade school” is used as an excuse to not make college more affordable and accessible, when most of the people saying that want to thin the field of kids that their kids will have to compete against for desk jobs.

NP who has been a high school teacher for a long time. The kids who I think should go to trade school or get an AA degree instead of four year college are not competing with the kids of people posting on this website. They aren’t gunning for Brown- they are trying to get in to Penn State satellite campus.

[Anonymous]

The problem with this stupid policy is:
1. It’s inflationary at a time when too much govt money has been dumped into the economy
2. It’s grossly unfair to those who exercised frugality in their college choices and paid off their loans
3. It’s grossly unfair for the working class to essentially pay off the professional classes debts. Why not cancel car loans if arbitrarily throwing money around…

[Anonymous]

Anonymous wrote:The problem with this stupid policy is:
1. It’s inflationary at a time when too much govt money has been dumped into the economy
2. It’s grossly unfair to those who exercised frugality in their college choices and paid off their loans
3. It’s grossly unfair for the working class to essentially pay off the professional classes debts. Why not cancel car loans if arbitrarily throwing money around…

For the 9537744th time, you can declare bankruptcy on car loans or credit card debt.

[Anonymous]

Anonymous wrote:

Anonymous wrote:The problem with this stupid policy is:
1. It’s inflationary at a time when too much govt money has been dumped into the economy
2. It’s grossly unfair to those who exercised frugality in their college choices and paid off their loans
3. It’s grossly unfair for the working class to essentially pay off the professional classes debts. Why not cancel car loans if arbitrarily throwing money around…

For the 9537744th time, you can declare bankruptcy on car loans or credit card debt.

Or, pay the bill.
It almost seems as if some of these people took out loans with no intent to pay them back.

[Anonymous]

Anonymous wrote:

Anonymous wrote:The problem with this stupid policy is:
1. It’s inflationary at a time when too much govt money has been dumped into the economy
2. It’s grossly unfair to those who exercised frugality in their college choices and paid off their loans
3. It’s grossly unfair for the working class to essentially pay off the professional classes debts. Why not cancel car loans if arbitrarily throwing money around…

For the 9537744th time, you can declare bankruptcy on car loans or credit card debt.

Again bankruptcy has consequences-it's on your financial record for 7 years preventing you from getting loans and you usually have to liquidate personal assets if you aren't completely broke. Forgiving student loans does not do any of these things and is basically giving out more free money.

[Anonymous]

Anonymous wrote:

Anonymous wrote:The problem with this stupid policy is:
1. It’s inflationary at a time when too much govt money has been dumped into the economy
2. It’s grossly unfair to those who exercised frugality in their college choices and paid off their loans
3. It’s grossly unfair for the working class to essentially pay off the professional classes debts. Why not cancel car loans if arbitrarily throwing money around…

For the 9537744th time, you can declare bankruptcy on car loans or credit card debt.

Fine. So make student debt able to be discharged in bankruptcy. Just randomly voiding student debt is a deeply unfair policy.

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:The problem with this stupid policy is:
1. It’s inflationary at a time when too much govt money has been dumped into the economy
2. It’s grossly unfair to those who exercised frugality in their college choices and paid off their loans
3. It’s grossly unfair for the working class to essentially pay off the professional classes debts. Why not cancel car loans if arbitrarily throwing money around…

For the 9537744th time, you can declare bankruptcy on car loans or credit card debt.

Again bankruptcy has consequences-it's on your financial record for 7 years preventing you from getting loans and you usually have to liquidate personal assets if you aren't completely broke. Forgiving student loans does not do any of these things and is basically giving out more free money.

Only for 7 years.

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:The problem with this stupid policy is:
1. It’s inflationary at a time when too much govt money has been dumped into the economy
2. It’s grossly unfair to those who exercised frugality in their college choices and paid off their loans
3. It’s grossly unfair for the working class to essentially pay off the professional classes debts. Why not cancel car loans if arbitrarily throwing money around…

For the 9537744th time, you can declare bankruptcy on car loans or credit card debt.

Again bankruptcy has consequences-it's on your financial record for 7 years preventing you from getting loans and you usually have to liquidate personal assets if you aren't completely broke. Forgiving student loans does not do any of these things and is basically giving out more free money.

Only for 7 years.

I'm not sure what your point is. Are you arguing bankruptcy is consequence free?

[Anonymous]

my brother -in-law filed bankruptcy and his credit was back to 700 in 3 years. He got a car loan @3.5% 6 months after filing and just approved for a mortgage (now 4.5 years out)

[Anonymous]

The Dems garner votes by giving away money and entitlements. Always have. That’s their shtick. Free stuff to the masses in exchange for feel good news stories and votes. Hence, let’s forgive student debt while not addressing the core issue: colleges cost too much now due to bloated administration costs and increased demand from “qualified” applicants that have inflated GPAs and no standardize test score requirements.