student loans...what will happen when payments start

[Anonymous]

crazy how much milllions Mcdonald's got from PPP Loan...
not sure why because they were never closed

https://projects.propublica.org/coronavirus/bailouts/search?q=mcdonalds+&v=3

[Anonymous]

Anonymous wrote:

Anonymous wrote:People need to start paying. It's a loan[! Debts need to be paid

How do you feel about the PPP loans that were forgiven under the same act? Or about strategic bankruptcies of businesses?

I agree that loans generally should be paid, but in this case government policies allowed student loans to balloon while the value of the education lessened over time. And they gave these loans to 18 year olds with little understanding of the long term implications. I think the government is squarely in its right to forgive them and to make the adjustments they are doing to repayment policies.

I mostly agree, but I’d also like them to focus on fixing the policies and helping to make college more affordable in general. Otherwise we’re just kicking the can down the road and not helping kids who aren’t in college yet.

[Anonymous]

Anonymous wrote:

Anonymous wrote:I think we’ll need to start paying in August regardless of the outcome of the lawsuit. We’ve all been given an amazing truly once in a lifetime reprieve where we’ve been acne to save or pay down our loans with zero interest. It’s very positive for borrowers.

I totally agree. But I'm sure most people didn't save and didn't pay it down. Which is why I don't feel bad. It's been 3 years!!!

Unless you are PLSF it was a miss to save or not pay down loans unless you were unemployed or living paycheck to paycheck or I guess had an amazing investment opportunity that you couldn't pass up. If you took some of the money and used it to buy a house or to take an amazing vacation, that's fine - but if it's just enabled lifestyle creep then that's too bad. I say this as a borrower who graduated at 27 with $100K in debt after attending grad school at Columbia. My goal has always been to pay of my loans in 10 years and I have a little over two years and around $24K left. It's been a slog, but my graduate degree has allowed me to make way more money than I ever thought possible and in that sense it's been worth it.

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:I think we’ll need to start paying in August regardless of the outcome of the lawsuit. We’ve all been given an amazing truly once in a lifetime reprieve where we’ve been acne to save or pay down our loans with zero interest. It’s very positive for borrowers.

I totally agree. But I'm sure most people didn't save and didn't pay it down. Which is why I don't feel bad. It's been 3 years!!!

Unless you are PLSF it was a miss to save or not pay down loans unless you were unemployed or living paycheck to paycheck or I guess had an amazing investment opportunity that you couldn't pass up. If you took some of the money and used it to buy a house or to take an amazing vacation, that's fine - but if it's just enabled lifestyle creep then that's too bad. I say this as a borrower who graduated at 27 with $100K in debt after attending grad school at Columbia. My goal has always been to pay of my loans in 10 years and I have a little over two years and around $24K left. It's been a slog, but my graduate degree has allowed me to make way more money than I ever thought possible and in that sense it's been worth it.

Wow that's amazing news. I agree people should have paid these large loans down. There's no reason to use that money for other stuff and inflate lifestyle.

[Anonymous]

If you signed a loan agreement, then you need to re-pay the loan. What is the issue?

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:People need to start paying. It's a loan[! Debts need to be paid

How do you feel about the PPP loans that were forgiven under the same act? Or about strategic bankruptcies of businesses?

I agree that loans generally should be paid, but in this case government policies allowed student loans to balloon while the value of the education lessened over time. And they gave these loans to 18 year olds with little understanding of the long term implications. I think the government is squarely in its right to forgive them and to make the adjustments they are doing to repayment policies.

I mostly agree, but I’d also like them to focus on fixing the policies and helping to make college more affordable in general. Otherwise we’re just kicking the can down the road and not helping kids who aren’t in college yet.

Actually the changes to the income driven repayment plan DO make college far more affordable if it doesn't pay out in terms of a high paying career. This is where the most dramatic ongoing change is--it will in turn be reportable in federal databases and hold colleges accountable if their graduates are not consistently making enough money to pay off their loans. I agree the country needs to act on college affordability but any bills on that are at a standstill in a divided Congress, so the administration is doing what it can.

[Anonymous]

Anonymous wrote:crazy how much milllions Mcdonald's got from PPP Loan...
not sure why because they were never closed

https://projects.propublica.org/coronavirus/bailouts/search?q=mcdonalds+&v=3

I don’t understand why people keep coming to PPP to justify student loan forgiveness?? That moment in time when the world was going to hell and in order to pump money to keep things afloat it made sense, did some get it when they didn’t qualify yes, but was it needed in that moment?? Yes. We would be 1000x worst if it was not done. Student loans are a different beast. People signed on the dotted line, got the degree of choice and it has to be paid back. If you do a blanket forgiveness, will people get it that don’t deserve it? Yes of course, who making 100k a year needs help?? Doesn’t make sense. I think this is a problem that needs greater thought. You forgive people in the work force currently, what about the ones in school right now? Their tuition is still darn high for no good reason. When that liberal arts guy/gal finishes with 100k in tuition, how are they gonna pay it back? Do we go back and forgive that too 10 yrs down the road? Get my drift? People opposing it are saying please fix the problem, don’t bandage it. Also another problem is that inflation is too damn high right now, it’s a terrible time to pump more money into the system. Timing is also a big hurdle right now.

Back to the topic, yes it’s gonna be a major problem when a whole group of people go into default. Not to the scale of the housing issue by any stretch but still a big problem. We need to fix education problems to fix this problem. For as long as I have been alive I have heard that teachers are broke and their pay is not enough, anyone argue with that? Then if their pay is not increasing with times, why is tuition up so big? Are schools pocketing all this money? Wonder how many education institutions got ppp? Please fix the problem at its core!

[Anonymous]

Anonymous wrote:

Anonymous wrote:I think there will be a lot of babysitters available.

Seriously, did they really think this wouldn’t happen?

(Also hoping the Sup ct goes against the admin’s forgiveness program, unless I can get my car loan forgiven and the first $10k of my kids college bill written off.)

The people with these loans are teachers, building inspectors, business owners. They aren't college kids, they are middle aged people with jobs who have been paying for years. And they still can't pay off these loans.

Mine are already forgiven, thankfully, but navigating PSLF was a nightmare. What a mess.

I totally support the first $X of your kid's college being free, by the way. State schools should be low-cost to all and free to most. It's wrong to tell people they need college degrees to work (required even for many jobs that shouldn't really need them), then make those degrees unaffordable without predatory loans.

Why in the hell would anyone take out a large loan to be a freaking teacher??

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:I think there will be a lot of babysitters available.

Seriously, did they really think this wouldn’t happen?

(Also hoping the Sup ct goes against the admin’s forgiveness program, unless I can get my car loan forgiven and the first $10k of my kids college bill written off.)

The people with these loans are teachers, building inspectors, business owners. They aren't college kids, they are middle aged people with jobs who have been paying for years. And they still can't pay off these loans.

Mine are already forgiven, thankfully, but navigating PSLF was a nightmare. What a mess.

I totally support the first $X of your kid's college being free, by the way. State schools should be low-cost to all and free to most. It's wrong to tell people they need college degrees to work (required even for many jobs that shouldn't really need them), then make those degrees unaffordable without predatory loans.

Why in the hell would anyone take out a large loan to be a freaking teacher??

I don't think you can take out large loans for undergrad. The issue is that they don't make much and are paying the minimum but the interest is compounding faster. So their balance may have been $25k and now it's like $50k

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:I think there will be a lot of babysitters available.

Seriously, did they really think this wouldn’t happen?

(Also hoping the Sup ct goes against the admin’s forgiveness program, unless I can get my car loan forgiven and the first $10k of my kids college bill written off.)

The people with these loans are teachers, building inspectors, business owners. They aren't college kids, they are middle aged people with jobs who have been paying for years. And they still can't pay off these loans.

Mine are already forgiven, thankfully, but navigating PSLF was a nightmare. What a mess.

I totally support the first $X of your kid's college being free, by the way. State schools should be low-cost to all and free to most. It's wrong to tell people they need college degrees to work (required even for many jobs that shouldn't really need them), then make those degrees unaffordable without predatory loans.

Why in the hell would anyone take out a large loan to be a freaking teacher??

I don't think you can take out large loans for undergrad. The issue is that they don't make much and are paying the minimum but the interest is compounding faster. So their balance may have been $25k and now it's like $50k

We need financial literacy courses in high school. There are way too many folks walking around that don’t think about money and how it works in the greatest debted country. Our great nation is built on credit, other nations are like this but not to the same degree. If you don’t learn how to plan the game, it will cost you. Like saying I’m gonna pursue my passion and not thinking about the consequences of borrowing the money to make this 18 yo fantasy a reality. Unfortunately I side with those who are against forgiving because it comes down to your own decisions, not predatory lending etc.

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:I think there will be a lot of babysitters available.

Seriously, did they really think this wouldn’t happen?

(Also hoping the Sup ct goes against the admin’s forgiveness program, unless I can get my car loan forgiven and the first $10k of my kids college bill written off.)

The people with these loans are teachers, building inspectors, business owners. They aren't college kids, they are middle aged people with jobs who have been paying for years. And they still can't pay off these loans.

Mine are already forgiven, thankfully, but navigating PSLF was a nightmare. What a mess.

I totally support the first $X of your kid's college being free, by the way. State schools should be low-cost to all and free to most. It's wrong to tell people they need college degrees to work (required even for many jobs that shouldn't really need them), then make those degrees unaffordable without predatory loans.

Why in the hell would anyone take out a large loan to be a freaking teacher??

I don't think you can take out large loans for undergrad. The issue is that they don't make much and are paying the minimum but the interest is compounding faster. So their balance may have been $25k and now it's like $50k

We need financial literacy courses in high school. There are way too many folks walking around that don’t think about money and how it works in the greatest debted country. Our great nation is built on credit, other nations are like this but not to the same degree. If you don’t learn how to plan the game, it will cost you. Like saying I’m gonna pursue my passion and not thinking about the consequences of borrowing the money to make this 18 yo fantasy a reality. Unfortunately I side with those who are against forgiving because it comes down to your own decisions, not predatory lending etc.

I think for undergrad the forgiveness is fine. But it seems like people are able to take much larger loans for graduate school. I think that's the bigger issue.

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:I think there will be a lot of babysitters available.

Seriously, did they really think this wouldn’t happen?

(Also hoping the Sup ct goes against the admin’s forgiveness program, unless I can get my car loan forgiven and the first $10k of my kids college bill written off.)

The people with these loans are teachers, building inspectors, business owners. They aren't college kids, they are middle aged people with jobs who have been paying for years. And they still can't pay off these loans.

Mine are already forgiven, thankfully, but navigating PSLF was a nightmare. What a mess.

I totally support the first $X of your kid's college being free, by the way. State schools should be low-cost to all and free to most. It's wrong to tell people they need college degrees to work (required even for many jobs that shouldn't really need them), then make those degrees unaffordable without predatory loans.

Why in the hell would anyone take out a large loan to be a freaking teacher??

I don't think you can take out large loans for undergrad. The issue is that they don't make much and are paying the minimum but the interest is compounding faster. So their balance may have been $25k and now it's like $50k

We need financial literacy courses in high school. There are way too many folks walking around that don’t think about money and how it works in the greatest debted country. Our great nation is built on credit, other nations are like this but not to the same degree. If you don’t learn how to plan the game, it will cost you. Like saying I’m gonna pursue my passion and not thinking about the consequences of borrowing the money to make this 18 yo fantasy a reality. Unfortunately I side with those who are against forgiving because it comes down to your own decisions, not predatory lending etc.

I think for undergrad the forgiveness is fine. But it seems like people are able to take much larger loans for graduate school. I think that's the bigger issue.

A middle class student pursuing art history at a school that charges $70k/year is not “fine.”

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:I think there will be a lot of babysitters available.

Seriously, did they really think this wouldn’t happen?

(Also hoping the Sup ct goes against the admin’s forgiveness program, unless I can get my car loan forgiven and the first $10k of my kids college bill written off.)

The people with these loans are teachers, building inspectors, business owners. They aren't college kids, they are middle aged people with jobs who have been paying for years. And they still can't pay off these loans.

Mine are already forgiven, thankfully, but navigating PSLF was a nightmare. What a mess.

I totally support the first $X of your kid's college being free, by the way. State schools should be low-cost to all and free to most. It's wrong to tell people they need college degrees to work (required even for many jobs that shouldn't really need them), then make those degrees unaffordable without predatory loans.

Why in the hell would anyone take out a large loan to be a freaking teacher??

I don't think you can take out large loans for undergrad. The issue is that they don't make much and are paying the minimum but the interest is compounding faster. So their balance may have been $25k and now it's like $50k

We need financial literacy courses in high school. There are way too many folks walking around that don’t think about money and how it works in the greatest debted country. Our great nation is built on credit, other nations are like this but not to the same degree. If you don’t learn how to plan the game, it will cost you. Like saying I’m gonna pursue my passion and not thinking about the consequences of borrowing the money to make this 18 yo fantasy a reality. Unfortunately I side with those who are against forgiving because it comes down to your own decisions, not predatory lending etc.

I think for undergrad the forgiveness is fine. But it seems like people are able to take much larger loans for graduate school. I think that's the bigger issue.

A middle class student pursuing art history at a school that charges $70k/year is not “fine.”

A student cannot take out loans on their own for $70k/year. Not even close. Enabling parents can.

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:I think there will be a lot of babysitters available.

Seriously, did they really think this wouldn’t happen?

(Also hoping the Sup ct goes against the admin’s forgiveness program, unless I can get my car loan forgiven and the first $10k of my kids college bill written off.)

The people with these loans are teachers, building inspectors, business owners. They aren't college kids, they are middle aged people with jobs who have been paying for years. And they still can't pay off these loans.

Mine are already forgiven, thankfully, but navigating PSLF was a nightmare. What a mess.

I totally support the first $X of your kid's college being free, by the way. State schools should be low-cost to all and free to most. It's wrong to tell people they need college degrees to work (required even for many jobs that shouldn't really need them), then make those degrees unaffordable without predatory loans.

Why in the hell would anyone take out a large loan to be a freaking teacher??

I don't think you can take out large loans for undergrad. The issue is that they don't make much and are paying the minimum but the interest is compounding faster. So their balance may have been $25k and now it's like $50k

We need financial literacy courses in high school. There are way too many folks walking around that don’t think about money and how it works in the greatest debted country. Our great nation is built on credit, other nations are like this but not to the same degree. If you don’t learn how to plan the game, it will cost you. Like saying I’m gonna pursue my passion and not thinking about the consequences of borrowing the money to make this 18 yo fantasy a reality. Unfortunately I side with those who are against forgiving because it comes down to your own decisions, not predatory lending etc.

I think for undergrad the forgiveness is fine. But it seems like people are able to take much larger loans for graduate school. I think that's the bigger issue.

A middle class student pursuing art history at a school that charges $70k/year is not “fine.”

A student cannot take out loans on their own for $70k/year. Not even close. Enabling parents can.

And that far exceeds federal loan limits for undergraduate so they wouldn't be forgiven anyway.

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:I think there will be a lot of babysitters available.

Seriously, did they really think this wouldn’t happen?

(Also hoping the Sup ct goes against the admin’s forgiveness program, unless I can get my car loan forgiven and the first $10k of my kids college bill written off.)

The people with these loans are teachers, building inspectors, business owners. They aren't college kids, they are middle aged people with jobs who have been paying for years. And they still can't pay off these loans.

Mine are already forgiven, thankfully, but navigating PSLF was a nightmare. What a mess.

I totally support the first $X of your kid's college being free, by the way. State schools should be low-cost to all and free to most. It's wrong to tell people they need college degrees to work (required even for many jobs that shouldn't really need them), then make those degrees unaffordable without predatory loans.

Why in the hell would anyone take out a large loan to be a freaking teacher??

I don't think you can take out large loans for undergrad. The issue is that they don't make much and are paying the minimum but the interest is compounding faster. So their balance may have been $25k and now it's like $50k

We need financial literacy courses in high school. There are way too many folks walking around that don’t think about money and how it works in the greatest debted country. Our great nation is built on credit, other nations are like this but not to the same degree. If you don’t learn how to plan the game, it will cost you. Like saying I’m gonna pursue my passion and not thinking about the consequences of borrowing the money to make this 18 yo fantasy a reality. Unfortunately I side with those who are against forgiving because it comes down to your own decisions, not predatory lending etc.

I think for undergrad the forgiveness is fine. But it seems like people are able to take much larger loans for graduate school. I think that's the bigger issue.

A middle class student pursuing art history at a school that charges $70k/year is not “fine.”

A student cannot take out loans on their own for $70k/year. Not even close. Enabling parents can.

And that far exceeds federal loan limits for undergraduate so they wouldn't be forgiven anyway.

What about PSLF?