In the four year plus that the girl has been in school she has been able to purchase two new cars, pay rent in a nice apartment, go to school and not work.
When our eldest son was in years 5,6,and 7 at the university, the student loan money available to him was far more than was necessary. Thankfully he didn’t borrow more than he needed.
The girl in question had her grandmother co-sign for the loans. I’m sure that has a great deal to do with the outcome. Now an elderly woman has her farm at risk.
As far as borrowing more than is needed, well all I can say is, adult choices, adult consequences. When a kid is born, everyone should open and fund a 529 college savings plan. Set up automatic withdrawals to fund it, have people contribute to it for birthdays and holidays instead of wasting money on throwaway junk. You'll get to see the advantages of tax-free investment growth, and tax-free withdrawals for qualified expenses when the time comes. It's a great estate planning option as well.