The restart of paying Student Loans is going to be the grinch that stole this Christmas.
That is sucking billions of dollars a month out of the economy—and it’s pulling out “disposable” income. Millennial parents with kids are cutting back.
I know my kids continued paying down their debt, but that wasn’t the case with many of their peers. Many of them were grad students and their monthly nut was $750. Even if you are working in a good job, that is going to leave a mark.
Oh well…
No one forced students or parents to take out student loans. If a student or parent can't payback a loan, they should file for bankruptcy and/or sue the school if the school made promises to the student/parent saying their degree will provide a well paying job.
The government putting its hands in my pocket to pay for someone else's loan is criminal!
What the government can and should do is get out of the student loan business ENTIRELY and relegate that job to private lending institutions. Additionally, the government should make it very easy for a parent or student to declare bankruptcy so that both the lending institution and the school eats the loss. When the lending institution and school understands it's on the hook, they will make more prudent decisions as to who gets a student loan.