4 ms·
You can't have it both ways. Either allow the government to turn down most of these loans and charge higher interest rates based on credit-worthiness or make b
by rsj_hn 5y ago
You can't have it both ways.
Either allow the government to turn down most of these loans and charge higher interest rates based on credit-worthiness or make bankruptcy very difficult. What you want is the bankrupcty rights of a non-government guaranteed loan in which credit worthiness is taken into account, but interest rates and credit availability of a loan in which the bankruptcy rights are substantially reduced.
That's not possible. I agree we should abolish these lending guarantees entirely and let the private sector provide loans and charge whatever interest rate they want if people can just walk away from the loan. But that's not the interest rate people are paying now, so that's not an option for existing borrowers.
- david38 5y agoFew things are black and white. I absolutely believe in bankruptcy. I also believe the government can fund state schools and community colleges in such a way as to improve access without building more palaces. Just by improving the rigor of community colleges students can save massive amounts of money by paying $2k/y instead of $30k and live at home instead of $15k for housing. This cuts the cost basically in half.
- voakbasda 5y agoYou think I’d let my kids live with me for less than $200/month?
- cercatrova 5y agoYes? I never get why parents would charge their own kids rent. Not how you'd build generational wealth.