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> Lambda claimed this thing wasn't dischargeable in bankruptcy, the state of California says actually it is. Okay, fine. It doesn't mean Lambda was doing someth
by jfim 6y ago
> Lambda claimed this thing wasn't dischargeable in bankruptcy, the state of California says actually it is. Okay, fine. It doesn't mean Lambda was doing something malicious.
Maybe I'm missing something, but if someone were in the unfortunate position to be considering bankruptcy, wouldn't knowing whether this loan is actually dischargeable or not be a big deal to them? It seems like it would be.
- kethinov 6y agoIt's not a loan, it's an income share agreement. Someone facing bankruptcy is unlikely to be making enough income to be subject to ISA repayment which only comes into effect if the student is earning above the threshold for it. I really don't get why some people dislike ISAs. They're way better than student loans.
- dragonwriter 6y ago> It's not a loan, it's an income share agreement. (1) The “Income share agreement” is a $30K loan with various wrinkles, (2) Lambda School, for legal reasons, doesn’t use ISAs in California, but a somewhat less obfuscated $30,000 loan, the “Retail Installment Contract”. > I really don't get why some people dislike ISAs. They're way better than student loans. They aren’t better than federal student loans, which have an optional income driven repayment plans, which are a similar or lower percentage of discretionary income than most ISAs are of total income. They may sometimes be better than the available nonfederal loans for people attending institutions not qualified for federal loans, but that’s a pretty low bar.
- lacker 6y agoIt's important, I just mean that the law isn't obvious here, so we shouldn't jump from "Lambda made a false statement about the California law" to "Lambda is maliciously trying to mislead students".
- deleted 6y ago[deleted]
- tw04 6y agoHow is the law not obvious? There are a handful of things that are exempt from bankruptcy, "income sharing" isn't one of those things. Going through the list of exempted items, I can't find a single one where I go "oh, yes that sort of applies". http://www.californiabankruptcy.info/exemptions.html http://www.californiabankruptcy.info/exemptions.html
- pseudalopex 6y agoThat lists property someone can keep. Did you mean this page?[1] [1] http://www.californiabankruptcy.info/nondischarge.html http://www.californiabankruptcy.info/nondischarge.html
- bpodgursky 6y agoWell, student loans _are_ one of those things. ISAs seem a lot closer to "student loans" than, like, a new boat. I don't think this is totally unreasonable.
- skellera 6y agoThat’s giving way too much credit. I’m sure if you asked 100 people if ISAs from a bootcamp were the same as government backed student loans, you’d get pretty close to 100 “no.”
- bpodgursky 6y agoPrivate student loans are exempt too...
- deleted 6y ago[deleted]
- amznthrwaway 6y agoIt is reasonable to assume bad faith, given that all available evidence is that Austen is a pathologically dishonest sociopath who PG has personally coached to ignore valid criticism unless the critics are white billionaires. Lambda is bad. Austen is one of the worst motherfuckers on the planet. Captures far more value than his piece of shit “school” creates by tricking desperate people. Fuck Austen, and fuck Paul graham for personally encouraging his dishonest sociopathy. Worthless pieces of shit, both of them.