The problem is, it also allows folks who would never qualify for a 100k loan otherwise get 100K into debt. I read an article about how artists are struggling i

The problem is, it also allows folks who would never qualify for a 100k loan otherwise get 100K into debt. I read an article about how artists are struggling in the high cost San Francisco Bay Area (sorry no link, because it was really an eye-opening article). The article did mention student loans, but focused mainly on gentrification brought about by high tech. However, they did profiles of various struggling artists, and I was frankly stunned by the debt levels. People with fine and performing arts degrees frequently had student debt levels of $70,000-$90,000. Holy crap. Is it a good thing that we've created a non-dischargeable, federally guaranteed loan that allows people to go $90k in hock for a degree that they wouldn't otherwise be able to get? I was very intrigued when I learned that libertarians often look askance on weakening bankruptcy laws. I always figured they were a "that's the bargain you made" soft of crowd. What I learned is that libertarians aren't especially keen on lending (pun intended) the government's monopoly on physical force in service as a collection agency for people who make stupid loans. I'd say that making a $90,000 loan to someone so they can (channeling David Sedaris here) take photographs of rotting produce spilling out of garbage cans is the height of stupidity. Like, if you make that loan, don't come crying to me. We already have a fairly punitive bankruptcy system, but we are not interested in marshaling the power of government sponsored men with guns to pursue foolish borrowers who don't pay foolish debts to the ends of the earth so that foolish lenders can get their money back. That, to quote pornstache from orange is the new black, "sounds like a whole lot of your problem". If you don't think ordinary bankruptcy, along with credit and a history of repaying debts, is enough to incentivize repayment, seriously, don't make the loan.