I knew that I would a certain amount of grief for my post.
I have a son that did a stupid thing and will be paying for it all of his life.
A scam/sham school loaned him $90,000 for a 2 year associates degree in “Recording Arts” when he was 18 years old.
It just strikes me as odd that a person can do a stupid thing...
and borrow more money than they can afford to pay back for
houses,
cars,
boats,
businesses,
or just general unsecured credit card debt,
and they are allowed to file bankruptcy and be forgiven of those debts,
but if a person does a stupid thing...
and borrows more money than they can afford to pay back for a student loan, there is no relief available for them.
Geese and ganders should have the same sauce, that’s all I’m saying.
I see the whole blooming thing as a big scam run by a bunch of grifters.
Actions have consequences. If you equate education loans to home or car loans, then exactly what collateral does the borrower provide? Homes, cars, businesses etc. can be repossessed.
Interest rates will soar on education loans if people can just walk away from them. And funding will become scarce because who is going to loan money under those circumstances. Maybe the parents can co-sign such loans and be responsibile for repayment.
Again, this move by Obama to allow student loans from private lenders to be subject to bankruptcy laws is just a poltical ploy gain votes and make the Federal government more powerful. And will this be done retroactively? Is that fair to change the conditions of a contract after the fact?
Wow. I am sorry to hear your son made those decisions. You may not like my reply, so feel free to tell me to take a walk. I have not been in your son’s situation, but I have made mistakes; and I (as all Christians), have been humbled and saved.
What he did is a textbook example of folly. He did it; no one else. The solution is for your son to go Dave Ramsey on his debt. It will be a difficult and miserable period. He is free to contact the holder of the debt and work out a settlement schedule, if possible. Maybe they will agree to a lower amount.
But if he does go Dave Ramsey, in full, I know he will (a) pay off the debt sooner than one thinks, (b) learn character and financial lessons that will benefit him for the rest of his life, (c) be able to teach others from his mistakes, and (d) know that for the rest of his life no one on the planet can take away his self worth and confidence, no matter what.
Or he can vote for Obama. His life, his choice.
I agree with you completely.