Student Loans Debt

[Kevin]

Originally Posted by Munchkin03

I thought the first post was kind of insane.

Well yeah.. call me a cynic and all, but in the eyes of legislators, a fundamental reality which can always be counted on can be summed up like this:

Students and their finances < the bottom lines of banks

I'll concede that banks should get to make a decent profit on these loans, but I also think the profit shouldn't be more than a point or two above prime. Why is this? Subsidized loans are not bankruptable. In other words, these loans, particularly to doctors, lawyers and other money-making degree-holders have damn near zero risk and are generally, over the long haul, free money to the bank which can absolutely be counted on.

I think the interest rates are out of hand.

At any rate, while I'd love to see student loans forgiven, this isn't the sort of policy the Democrats will be interested in implementing. Graduates with student debts are not generally going to be in that mostly non-working group of folks dubbed the "working class," rather, we're more likely to be middle to upper-middle class -- kind of in the "to hell with you" category, right below the "we're actively trying to undermine your financial security" category.

At any rate, while I'd also like a choo-choo and a red race car and a spiderman for Christmas, I don't think I'll be getting my student loans forgiven either.

[kstar]

Originally Posted by Kevin

At any rate, while I'd also like a choo-choo and a red race car and a spiderman for Christmas, I don't think I'll be getting my student loans forgiven either.

You could, quite a few of my friends got debt forgiveness (well a percentage of it) for their Law School Debt, provided they stay at Legal Aid for x number of years.

[Kevin]

Originally Posted by kstar

You could, quite a few of my friends got debt forgiveness (well a percentage of it) for their Law School Debt, provided they stay at Legal Aid for x number of years.

I'm not really worried about that. I am pretty much (unlike many of my colleagues) assured of a very good income after graduation. While I'll take free money, slaving away at the PD's office isn't in the cards for me.

I do respect the job those folks do. One of our divorce clients was recently represented by the federal Public Defender who did a hell of a good job --our guy is a minority and got a hung jury on a drug charge -- I know, I didn't know that ever happened in Oklahoma either.

[Thetagirl218]

As lovely as it would be for the government to swoop in and say that they forgive my all my college debts, I wouldn't accept it.....

Maybe a lower interest rate, but the fact is, I took out that money and I owe it back!

If we start paying back everyone's debt, the government will be in debt forever.

[preciousjeni]

Originally Posted by Thetagirl218

If we start paying back everyone's debt, the government will be in debt forever.

Wait...you mean that's not what we want?

[ASUADPi]

I wouldn't mind a lower interest rate to offset the tremendous amount that I owe, it would help.

I don't know I just wish they gave teachers more of a break. The only way teachers get a "break" is if they are 1) sped teachers or 2) teaching in the other "hard to fill" areas.

I just think the whole thing sucks. I know I didn't go into teaching for the money, but come on, I'm like working poor. I probably owe 80K in school loans and I will be lucky if I make 45K next school year.

Since I live in AZ and my state is full of dumbasses who don't know how to not waste money, the teachers are suffering (along with districts) and we won't be getting a raise. Heck salaries will probably drop or freeze.

I'm not saying eliminate all of teachers school loan debt, but maybe have a program where teachers, after a certain amount of service in education, can apply to have up to 50% of thier loans forgiven, but a minimum of like 10% will be forgiven and depending on the application and what the "group" decides will be how much you get forgiven.

And not just teachers deserve a loan forgiveness program, another one I can think of right off the bat is nurses. Both jobs require a minimum of a bachlors degree and continuing education.

[KSigkid]

Originally Posted by kstar

You could, quite a few of my friends got debt forgiveness (well a percentage of it) for their Law School Debt, provided they stay at Legal Aid for x number of years.

There's currently a federal program that if you work for 10 years in public service (which includes working in a federal, state, local or tribal government position, working for a public interest law organization, or a 501(c)(3) organization), and if you make your payments on time for 10 consecutive years, you qualify for debt forgiveness. You have to consolidate your debt under one of the federal repayment programs (i.e. not consolidate under a private lender). I know there are even better programs in some states (and that some schools, including Yale, I believe, have their own programs), and there are law students lobbying for better programs in most of the other states (including CT), for those who want to go into public interest law without having to take a second job at Starbucks.

I can see the wisdom of those types of loan forgiveness programs, especially in public interest law where they're having a hard time finding good young lawyers, or they're losing good attorneys after a couple of years because of financial issues.

Something like this wouldn't affect me a whole lot personally, as I've worked full-time throughout undergrad and law school to minimize loans. But, as noted above, I think it's pretty drastic and would have no chance of being enacted.