Fixing Student Loans Forum
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tlsadmin3
- Posts: 230
- Joined: Tue Jan 30, 2018 1:26 pm
Fixing Student Loans
Most people would agree that the current system of student loans in the United States leaves room for improvement. Attorneys tend to have higher student debt than most other professions, so they are even more affected by the student loan situation. If you were in charge, what would you do to help alleviate the student debt crisis? Can action be taken through the courts or does the responsibility fall on politicians?
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ALCA1920
- Posts: 55
- Joined: Fri Jun 28, 2019 8:42 pm
Re: Fixing Student Loans
If I had any policymaking power, I would curtail federal student loans altogether for tuition (for living expenses, it might make sense to keep student loans, or to ask colleges if they can offer living stipends). The problem with guaranteeing federal loans for any 22 year old with a pulse, regardless of their grades or likelihood to succeed in the job market, is that the schools charge whatever they want in tuition, because they know that uncle sam can provide that money. Schools can raise tuition to 30 or 40k a year and the government will still pay for it. The student is stuck with that non-dischargeable debt, but who cares? The school gets money, and the government helped create another “educated” citizen that can presumably add value to society. Another good “investment in the nation’s future” is what the career politician will say about this.
Imagine a world where the government stopped intervening financially in higher ed. Very few people can afford current tuition rates out-of-pocket, so they’ll choose not to go to school since they can’t secure the funding. When enough people do this, schools will be forced to lower their fees to a point where enough people can afford attend. If they don’t do that... well, no students=no money=no functioning university. Supply and demand can do wonders.
I don’t know if the courts can do anything about this (guaranteeing loans to every living young adult for a degree of questionable value), but I do know it’s a policy issue that falls on the legislative branch.
Imagine a world where the government stopped intervening financially in higher ed. Very few people can afford current tuition rates out-of-pocket, so they’ll choose not to go to school since they can’t secure the funding. When enough people do this, schools will be forced to lower their fees to a point where enough people can afford attend. If they don’t do that... well, no students=no money=no functioning university. Supply and demand can do wonders.
I don’t know if the courts can do anything about this (guaranteeing loans to every living young adult for a degree of questionable value), but I do know it’s a policy issue that falls on the legislative branch.
