Student loan crisis Enriches the Federal Government

Student debt is now at $1 trillion and increases another $3,000 every second. That's crazy. I know the messed up monetary system has been widely discussed, and this may be another manifestation of the debt economy. But I Think there is something more to this, a pre meditated attempt to bankrupt the next generations of middle class Americans and ensuring the rule of the power elite. any thoughts?

the U.S. government earns 36 cents profit on each dollar loaned to students. With an estimated 21.8 million student loan recipients and approximately $108.9 billion in outstanding loans, the federal government will take in $34 billion.

Federal government profiting from student loans

I'll agree on one point the Government DOES control, which isn't the ungodly rates the private schools charge. From a few thousand a semester at lower levels to the mind numbing $40,000-$60,000 per school year at high level schools like Harvard, that's the school. Not uncle Sammy.

However, I'm staring at this issue as a personal problem right now, as it happens and the Government is outright ignorant to set it up so financial aid will cover Fall and Spring semesters -Or- they will cover Fall/Summer, Spring/Summer but NOT all 3. Why not?! Why shouldn't the aid be available for the full years course load AND the summer session as well? I have 3 more semesters of math I am required to get through and less than 2 full semesters of OTHER required courses I need to take before moving to the University to start my degree program for real.

That part is a scam, in my opinion. It draws it out longer, encouraging the use of the extra loan money which comes very freely along with the direct school costs ..and for many like me, makes the difference of Mortgage being paid or not.

I don't know what the thinking is precisely ...but it'll have me at community college level the better part of a year longer than I SHOULD have to deal with, all because they determined for some reason, summer shouldn't be covered unless you haven't taken one of the terms for the regular year. Is it about success or timelines to hit? Indeed.

reply to post by JohnWoodland


One of the first things the obozo's did when they got in, was to change student loans from private banks to federal loan programs. They now can take your "loan payments" directly from your tax refund - along with your fine for not having obozocare.

They'll let you have what they think you need, when all is said and done.

reply to post by Happy1


You forgot to mention that student loan debt cannot be charged off in bankruptcy. So now after you lose all your money paying your bills and the government takes your refund check because the degree you got turned out to worth less than the paper it was printed on and you work at some low wage job, you file bankruptcy. But SURPRISE you still owe the government money for that worthless piece of paper that is strangling you in debt.

Is there any doubt as to what they're doing? Most of my niece's paycheck goes to pay her student loan. There is no way she could live on her own. She is lucky she can live with her parents who support her despite the fact that she has a full time, albeit low-wage job. And that's the problem, there are no decent jobs to be had.

reply to post by Krazysh0t


I would really like to see this get more attention.

What we need to do is starve the beast (gov't) We need to stop sending our kids to college on student loans. Find the money, and let them attend 2 year, technical college.

We then need to elect people who will shut this scam - along with obozocare down.

Because, just wait, all of these poor kids will be sending all of their low-wage job refunds to obozocare - that's why they put in the "your kid can stay on parent's insurance until their 26 years old" clause into obozocare.

They're putting off the next big tax hike to kids off until they need to re-elect the next communist.

What will happen to those bloated colleges when no one attends? They will close, or greatly reduce their costs.
And all of their worthless degree programs.