This is the reason there was a govt takeover of the student loan system in the health care bill. Once these students are on the hook to the feds they will tell them where they have to work and for how much.
Non-dischargeable debts always suck to endure. (No bankruptcy for you wage slave with a piece of lambskin)
My daughter is in the Central State university ROTC program (although she attends another school nearby). [Central State is # 1 default in nation].
This more bad news for the housing market. More and more young people with bad credit who won’t be buying houses for a long long time.
bookmark
Do the ‘for profit’ groups include ‘learn trucking’ etc?
Aware that one of the “Top 10” in defaults was a historically black college, I thought I’d check on the others. I was amazed to find that at least half of the “Top 10” institutions were in a list of historically black and predominantly black colleges.
When you think about the relatively small number of institutions that fall into this category (historically/predominantly black) and then you see that half of the “Top 10” are in this category, this is astonishing. Why???? This is a scandal within a catastrophe.
Having been an educational counselor (a lifetime ago), I wonder how many of all those defaulting on loans may be caught in a double bind — not only do they owe a lot of money, they failed to get a college degree that MIGHT have helped them pay off the costs of that degree. Then I wonder if that situation might be even more of a problem at the historically/predominantly black institutions.
Pray for these young people — a terrible economy, few jobs to begin with, debt impossible to get out of and with compounding interest, no degree. Lots of these young people were likely the first ones in their families ever to attempt post secondary education. Imagine the message this situation sends to their friends and family members.