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Record Number of Student Loan Borrowers Are in Delinquency and Default
- toomuchtodo 7mo agoThis debt will never get paid back, it’s already gone.
- musicale 7mo agoWhere did it go, though? Mostly into the pockets of universities, many of whom have rather deep pockets and retain substantial assets.
- musicale 7mo agoStudent loans are a particularly interesting scam. Young people with no income, assets or collateral are funneled into significant long-term debt that is difficult to discharge, even in bankruptcy. Credit card companies might have tried this for a time, but universities are the ones who really took the ball and ran with it. It seems to be a corrupt bargain with universities, who can raise tuition and fees with impunity (indeed both have outpaced inflation at least half a century.)
- musicale 7mo ago"Delinquency" is a bit of a joke/misnomer since modern lenders have abandoned grace periods. This of course means that they can immediately charge late fees...
- thisisidiotic 7mo agoSome of them are probably just gaming the system intending to resume payments just before garnishments kick in.