Why should the banks forgive instead of forcing the colleges to pay for it? -- the colleges being the ones who fraudulently baited these students into moral haz

Why should the banks forgive instead of forcing the colleges to pay for it? -- the colleges being the ones who fraudulently baited these students into moral hazard, offering something they couldn't warranty. We need to stop treating colleges and college administrators as only the purest churches and priests. It would be a major net positive if half of all universities went bankrupt, as was already predicted by HBS professor to be in 10-15 years.