You don't need to pay public loans back while getting a phd, so it's not because they have to service them. An extra few years of interest isn't going to matter

You don't need to pay public loans back while getting a phd, so it's not because they have to service them. An extra few years of interest isn't going to matter in the long run. If it would undoubtedly increase life time earnings it's a stupid decision to turn it down because of undergrad student loans. That makes absolutely no sense. >red herring I was taking your post at face value. It lamented allowing financiers to capture value. I'm also not against tax payer funded college. But the loan system we have in the US combined with income based repayment is not as bad as people think it is. Mostly people just don't understand income based repayment and public vs. private loans.