Posted on 02/29/2016 10:41:46 AM PST by reaganaut1
"Congratulations" the Wall Street Journal wrote in late 2009. "You're about to own $100 billion a year in student loans." They weren't kidding.
As part of Obamacare, Congress passed the Student Aid and Fiscal Responsibility Act or SAFRA, a revenue positive pay-for that made Obamacare's budget impact less costly. The Journal called it a "takeover of the student-loan market."
Fast forward six years to a report recently issued by Bureau of the Fiscal Service, a division of the Department of the Treasury. The Fiscal Service issues the Financial Report of the United States Government, and what they report for 2015 is as the Journal predicted:
As of September 30, 2015, the Government held about $3.2 trillion in assets, an increase of $164.5 billion (5.4 percent). The Government's assets are comprised mostly of net loans receivable ($1.2 trillion) and net property, plant, and equipment ($893.9 billion). From Note 4, the Department of Education's (Education's) Federal Direct Student Loan Program accounted for $880.6 billion (72.4 percent) of total net loans receivable. Education's direct student loan program receivables balances have more than doubled since FY 2011 largely due to increased direct loan disbursements, attributable to the continued effect of 2010 legislation requiring a transition for new loans from guaranteed student loans to full direct lending by Education.
(Excerpt) Read more at weeklystandard.com ...
I was surprised when I learned that - in accounting terminology - a “bank deposit” is a “liability” to the bank, and by the same token, an “outstanding loan” is an “asset.”
OMG!!!!! And the Democrats want to FORGIVE this debt since they will get EVERY one of these kids AND their parents VOTES!!
Black is White....Up is Down....Good is Bad......this is just another one to add to our upside down world!
Once again those parents and kids who are responsible will end up paying for the Grasshoppers who are irresponsible. My kids graduated with no debt as a result of part time work, military service(reserve and active while in school) and spending restraint. Many of their classmates had neat cars and better digs, but ours have no debt.
Oh, they have debt....it’s just not their OWN!!
Around 25% of the population has a college degree. The politicians shouldn’t count on the 75% who don’t have degrees understanding why they in effect will have to pick up the tab.
The best part is that every time they make a loan they have more “assets” which means they can make another loan based on that increase in “assets”.
“And the Democrats want to FORGIVE this debt since they will get EVERY one of these kids AND their parents VOTES!!”
Count on it being the center point of Hillary’s campaign: “Education should be FREE!!”
That trial balloon has already been floated and it resonates with the masses. Even my wife said she’d vote for anyone that dropped her student loan. Why not? Since we’ve been the ones paying the taxes it is about time we got something in return.
I saw this last week - what a joke!
The Federal Government’s real asset is a population of 315 million who they view as their slaves.
This is all by design. The Democrats have been positioning themselves to buy just ONE election when it really counted the most.
Forgive student loans + boost monthly SS checks should do the trick.
“
“This is all by design. The Democrats have been positioning themselves to buy just ONE election when it really counted the most.
Forgive student loans + boost monthly SS checks should do the trick.”
Sadly, many republicans voted to not allow student loans to be claimed in Bankruptcy. This was a big bank bailout and nothing more.
“OMG!!!!! And the Democrats want to FORGIVE this debt since they will get EVERY one of these kids AND their parents VOTES!!”
They can forgive my college debt and my kids college debt and we still wouldn’t vote democrat. Plus it wouldn’t matter anyway since my taxes will go up to support the dissolution of my college debt.
Makes a lot of sense.
As opposed to just giving Wall Street Banks a trillion dollars because they were too big to fail? I didn’t see rioting in the streets over that one.
So students with loans are the new slaves on the big plantation? I paid for my kids school while I ate ramen noodles and drove 20 year old cars.
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