Posted on 06/12/2012 5:40:43 AM PDT by Kaslin
It’s hard to avoid the conclusion that college loans are part of Obama’s policy to make as many as possible dependent on government....
^^^
C’mon, Phyllis, you are leaving out yet another goal, i.e., to predicate a bail-out that will damage the economy even more.
The Democrats have here created the political equivalent of “In Case of Fire, Break Glass”.
Their ace in the hole is that they can propose to forgive the outstanding debt burdens at any time their backs are really up against it and they are in danger of losing their power.
I expect to hear the sound of breaking glass by October.
AMEN!!!! BIG COLLEGE!!!! What a Racuet!!
My son the doctor got out with $200000 in student loans, all were deferred but one to Bank of America for $80,000.
All BOA had to do was to contact him before default and get him to sign a form to defer it til he gets out of residency.
They let it go and sold his low interest student loan to a New York Collection Agency that tacked $21,000 on to the loan and are making him pay $900 a month at 21% interest.
Crime?
Except for the credential. The diploma is important to one's employment prospects. Yes, it doesn't at all affect how good one does one's job; but in the current climate, it's an absolute requirement for many positions to avoid getting your resume tossed immediately into the trash can.
Add this step:
Forgive the outstanding debt on the student loans by charging it off to the taxpayers.
Bingo!
But students are now becoming aware of what they signed up
for....it is starting to trickle down....
So schools will be cheaper when they get rid of dramatic
writing, cinema, gender studies programs and other
super-niche programs, and lump only a few of
those classes into broader categories, thereby getting rid
of many subperforming professors, and they won’t attract
the binge drinking, netsurfing,perhaps STD carrying, depressed
students.
I don’t know if it’s important but I have been told by someone
(this person has very good inside information) that the main medications
dispensed at their school health care facility are birth
control pills, and antidepressants. Can you imagine trying to
learn something worrying about side effects of BCP’s or
being depressed? Or both?
bcp I totally understand
antidepressants is interesting
I have heard that Adderall (not an a/d but a stimulant) is known as the "breakfast of champions" on campus
Our salary schedule is online if you take the time to look around for it. At the two schools I'm working in, adjuncts start at $32.50 and $40. Full-time instructors start at $50,000 at the community colleges in the area. Of course, "full-time" is a relative term ... apparently somewhere between 25 and 30 teaching hours per week plus however many office hours they put in, minus all the time off.
Adjuncts generally have no benefits package, but the full-time staff has the same package as that offered to the public school faculty and staff.
I consider the pay adequate as long as I can get enough hours each semester. Perhaps others would consider it too high or too low. I'm earning 1/5 of what I earned the last year I worked for the telecom company, if that will help you determine my actual worth in the market.
Obama Breaks Down Student Loan Overhaul
He will also talk about the provision’s less controversial expansion of Pell Grants, as well as supporting historically black and minority institutions and caps on student loan repayments.
According to the White House, “New borrowers who assume loans after July 1, 2014, will be able to cap their student loan repayments at 10 percent of their discretionary income and, if they keep up with their payments over time, will have the balance forgiven after 20 years.”
http://whitehouse.blogs.foxnews.com/2010/03/30/obama-breaks-down-student-loan-overhaul/
So basically, you need to make sure you buy or rent a living space expensive enough to maximize your non-discretionary spending, so you make the absolute minimum student loan payments for 20 years. Then the debt disappears!
Or more acurately, your debt gets paid by other Americans, which is “free money”!
Those of us who pay off our loans and debts sure look like chumps.
“These investments complement President Obama’s broader agenda for higher education and will help us reach his goal of America having the highest proportion of college graduates in the world by 2020.”
http://www.whitehouse.gov/sites/default/files/10326-higher-ed.pdf
(no mention given to QUALITY)
“Public service workers such as teachers, nurses, and those in military service will see any remaining debt forgiven after just 10 years.”
http://abcnews.go.com/WN/Politics/health-care-obama-signs-student-loan-overhaul-legislation/story?id=10239569&page=2
One thing you should explore is the amount of power the government exerts over those in debt to the feds on student loans. First, the debt can not be bankrupted. No matter what, you are stuck with that loan until you pay it off OR 20 years (whichever comes first) with the interest continuing to accrue.
Second, if you do default on the loan, you are no longer eligible for a number of federal programs nor can you collect a tax refund. Or any money the government may legitimately owe you.
Third, if you choose certain career paths, the government will pay off some or all of your student loan. Of course, most of these careers otherwise cannot attract quality applicants and if you drop out of the program, you still owe the loan.
Fourth, and I believe this is the real reason for the federalization of student loans, the majority of those who never graduate college take out student loans. And statistics say they tend to make less than those who graduate. However, they have to pay off that loan regardless. Therefore, since the interest generated on the loan goes to the government, they end up paying a stealth tax to the government without the feds ever having to pass a bill.
Think about that for a minute. A family of three earning $25k pays something along $500 in income tax. But a family with two average student loans ($23,000 each) at the normal 6% = $2,500 in interest to the government. Of course, that number goes down as the balance on the loan decreases, but in the years you are earning the least, the government collects the maximum amount of interest. In the later years, when the interest collected goes down, your income is very likely to increase, therefore increasing the income taxes collected.
It’s a way to collect more money for the government from the lower classes without actually passing a bill to tax them. Heck, for that matter, most folks view it as a benefit from the government when it’s actually a direct tax on the poor.
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