There's no penalties unless they're not paying in which case this is a different problem than student loan debt in general. Another issue with this is that the

There's no penalties unless they're not paying in which case this is a different problem than student loan debt in general. Another issue with this is that the vast majority of students hold way less than $50k in debt. This would help out people who either will be earning substantial incomes, e.g. physicians, or who used student loans to subsidize their lifestyle well beyond their school expenses (this might include living in New York City/San Francisco for four years without having any income.) Making student debt dischargeable via bankruptcy would eliminate student loans all together.