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I agree with the downvote and the fact that borrowers have skin in the game, but not that lenders have none. Debt should not be dischargeable, else it's not deb
by nhangen 10y ago
I agree with the downvote and the fact that borrowers have skin in the game, but not that lenders have none. Debt should not be dischargeable, else it's not debt at all.
- deleted 10y ago[deleted]
- HarryHirsch 10y agoOf course debt can be written off. Out there in the real world contracts are renegotiated all the time. More of that would be advantageous in the face of information asymmetry, the party with better insight would be less tempted to exploit their position.
- nhangen 10y agoYou're talking about corporate debt not personal debt. Show me an example of personal date that is frequently discharged (outside of bankruptcy) and I'll adjust my position. If you're referring to the fact that it can't be discharged as part of bankruptcy, then I tend to agree with you. It should be.
- icebraining 10y agoIf you're referring to the fact that it can't be discharged as part of bankruptcy, then I tend to agree with you. How else would they be dischargeable? I assume you were talking about bankruptcy.
- nhangen 10y agoAs some sort of student loan forgiveness program.
- HarryHirsch 10y agoHow about medical debt? I understand that US hospitals will cut you a deal based on your ability to pay.
- nhangen 10y agoYes that's true. However, they won't discharge it completely. They'll set you up with a payment plan and/or negotiate the total. I think they still report it to your credit profile though.
- pdkl95 10y agohttps://en.wikipedia.org/wiki/Jubilee_%28biblical%29 https://en.wikipedia.org/wiki/Jubilee_%28biblical%29
- loeg 10y agoBankruptcy is exactly the vector for discharging most personal debt. The problem is that student loans are exempt from bankruptcy.
- lazyasciiart 10y agoMaybe we can focus on making a rich real estate investor's debt non-dischargeable before tightening the screws on broke student loan holders.