this post was submitted on 25 Apr 2024
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[–] DarkGamer@kbin.social 6 points 6 months ago* (last edited 6 months ago) (1 children)

At that point why not just cut out the lenders entirely and make college free/publicly funded for all students like they do in Germany? An educated population yields many returns for a society and it will pay for itself with the boost to our economy it would provide.

[–] LifeInMultipleChoice@lemmy.world 2 points 6 months ago* (last edited 6 months ago) (1 children)

I thought the U.S. government already took all the loans. So wouldn't the lender be the U.S. government, and the interest goes to paying for the companies managing the loans I would assume. My interest rate on some of my loans went from 2.4% to 4.8% if I remember correctly (was sometime between 2008-2012 time period). I don't believe students can go to a bank and get private student loans unless there is some loopholes. That said, cancelling student loan debt would simply mean not paying themselves back. Student loans are tax deductible as well, so when you pay them it would essentially come out of your taxes income, so if you could magically pay 10k off one year, it should come off your highest taxes income bracket. I still owe some, but I'd be fine with at least making it free college for AS/AA and 0% interest on student loans past that for all new takers. If they could make it free for BS/BA I'm still fine with being stuck with mine so long as we can figure out how to fix it for the future generations.

[–] DarkGamer@kbin.social 1 points 6 months ago (1 children)
[–] LifeInMultipleChoice@lemmy.world 1 points 6 months ago

Interesting wonder why they confiscated all of those back then. I looked it up and 7.2% are private and the other 92.8% are owned by the federal government. I didn't think those existed anymore. Mine were all through JP Morgan when I went to college and those all got taken by the government.