> Makes sense when you have student loans backed by the federal government. If an 18 year old with no money and no credit history gets accepted into a qualifyin

> Makes sense when you have student loans backed by the federal government. If an 18 year old with no money and no credit history gets accepted into a qualifying university, she will be able to receive a loan This is the exact problem. Whoever makes the loan has an incentive for eternally increasing prices.