Student loans are quietly becoming a bigger and bigger problem for the entire US federal budget. The percentage of borrowers in default (ie, 9 straight months of nonpayment) has reached 20%, and keeps rising. The amount of federally-backed loan debt in the US (money owed directly to taxpayers) is nearly $2 TRILLION, and the current 20% hit has already become a drag on budget projections.The government has many legal tools to recover defaulted student loan debt (wage garnishment, lawsuits, etc.). But, even under the Republicans, something very odd is happening - the feds are NOT suing debtors for recovery. The feds are going soft on people who owe money. Wages are NOT being garnished. Student debtors are NOT being served with liens against their homes or cars. Is this an act of mercy? Probably not. The government has very precise data and estimates for what can be recovered through financial warfare. The actual answer is that the debtors are TOO POOR to be worth pursuing en masse. The court and legal costs would actually EXCEED estimated recovery from more aggressive methods.That's not good. This indicates a quiet but growing rot inside of the US economy as a whole.
>>539587263Money is fake and gay, it doesnt matter.
>>539587263Student loans are 5 years of free money
Just add it to the national deficit, problem solved
The loans should be cancelled. It is time to tax plumbers for roasties $250.000 gender theory diplomas
>>539587263>The actual answer is that the debtors are TOO POOR to be worth pursuing en masse.Breaking news. You can't garnish the wages of a part time barista at Starbucks for their $200,000 victimhood studies degree..
>>539587311TELL THAT TO SALLIE FUCKIN' MAY
>>539587512You can actually garnish quite a bit, but the projections seem to be that lawyers, counter-suits, and the general hit to the consumer economy would cost more.
>>539587311Oh yea?Tell that to the bum in the street.
>>539587263I paid mine off right when they resumed the interest after covid
I paid my loans off. It was so disgusting and humiliating that I'm now basically anti loan in every single aspect of my life. I refuse to purchase anything on loan ever again, I don't give a fuck how poor I look.
>>539588036>how poor I lookIf you're taking out a loan to not look poor you're a nigger
How the fug is there an institutionalized policy of giving loans to people who by definition neither have money nor the means of earning money?
>>539587263First housing loans and now this. Greedy poor people are the worst
>>539587263>borrowing money you don't have and can't pay back>to pay for something you could get for free from an LLMWe don't need colleges anymore. Just a single building for proctored exams.
>>539588091It's a subsidy for the schools.Just like food stamps are not for the poor, they are subsidies for the large brand name food processing companies.
>>539588036you're a european then, if you cant afford it, dont buy it, youll sleep better too
>>539587985>You can actually garnish quite a bit, Hey, Grok, tell me about "Income-Driven Repayment (IDR) plans".
>>539587263but it is still reflected on credit score if you dont pay your loans no? im loading up on gold and silver so the sooner all those things collapse the better
>>539588360People enrolled in IDR plans are not in default. Legally-recorded default requires you to say 'fuck this; I'm not paying' for at least 270 days. At which point, it becomes the government's problem to collect. But the government is NOT moving to collect. Which is strange.
>>539588086Youd be suprised. I know WASP mf yacht club members who are in deep water all the time.
>>539587263Iran can pay for my loans now
>>539587263Fuck you, not paying.
>>539588527Because if they do move to collect, we get a violent revolution from the backbone of the economy; White collar jobs.
