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Why is the government so afraid of allowing new student loans being issued to go into bankruptcy? Wouldn't this solve most issues going forward? Separate note:
by skizm 5y ago
Why is the government so afraid of allowing new student loans being issued to go into bankruptcy? Wouldn't this solve most issues going forward?
Separate note: instead of loan forgiveness programs, just pay for people's school up front if they go into these public sector jobs. Then if they quit before the end of their contract, they're on the hook for whatever. Same as the military academies system. Free college, 5 years of service, and you're done. I'm guessing they don't because they can weasel their way out of paying the forgiveness later through technicalities / miring the candidates with red tape, and the program is actually in bad faith.
- mrep 5y agoBecause unsecured loans are awful: https://news.ycombinator.com/item?id=31099683 https://news.ycombinator.com/item?id=31099683
- Fomite 5y agoThere's a couple reasons why not to do this, primarily flexibility. The program is expressly designed to allow people to move between positions, as long as they remain in a state, federal, local, tribal or 501c3 job. Those jobs also aren't guaranteed, nor is the government obligated to find you a posting. The program wasn't started in bad faith, spent some time there under the Trump administration where it was effectively non-functional, and is now functioning again.