How to Fix Federal Aid with Income Share Agreements

[DCandtheUTBand]

"Today, colleges may charge whatever they wish for the education they provide, the government provides the capital, and colleges bear little meaningful risk if students do not repay. This cannot continue. If students borrow responsibly and earn a good living after they graduate, their alma mater should benefit too. However, if they make too little to repay what they borrowed, the college, not taxpayers, should bear the burden."

How to Fix Federal Student Aid with Income Share Agreements | RealClearEducation

The battle between Republicans and Democrats over how to make college more affordable is simple: Democrats say it will never be affordable in a private market, and so taxpayers must foot the bill. ...

www.realcleareducation.com

 

[EvilWayz]

I read this article three times. I might not have understood it but if you get a degree in something retarded like lesbian Eskimo studies isn't it your fault for picking a major that won't make you any money when you graduate?

 

[Mdfgator]

Sounds like socialism to me.

 

[GhostOfMatchesMalone]

LOL If the solution isn't 'take the rich's money from them', then the dems here don't want to hear about it.

 

[BamaFan1137]

Sounds like socialism to me.

I thought the same.

 

[Uniformed_ReRe]

I remember reading about someone who went $250,000 in debt for a photography degree at NYU. There’s no way NYU would have approved this if it was coming out of their own pocket.

There are tons of colleges with super low graduation rates that are filled with “students” who only register for class so they can get access to low-interest federal loans and then use that money for non-educational stuff. If federal loans were cut off, most of these schools would immediately be out of business. But that might be good if in means that the serious students end up going to real schools and the non-serious students don’t get up to their eyeballs in debt for a degree that they’ll never finish anyway.

 

[BamaFan1137]

I remember reading about someone who went $250,000 in debt for a photography degree at NYU. There’s no way NYU would have approved this if it was coming out of their own pocket.

There are tons of colleges with super low graduation rates that are filled with “students” who only register for class so they can get access to low-interest federal loans and then use that money for non-educational stuff. If federal loans were cut off, most of these schools would immediately be out of business. But that might be good if in means that the serious students end up going to real schools and the non-serious students don’t get up to their eyeballs in debt for a degree that they’ll never finish anyway.

If you're saying that one can only get low interest government loans on certain degrees from "certified" schools, fine.

However, people have the right to be stupid. If someone wants to spend $250k on a useless education, that is their right in this country. Not allowing it on the public dole is entirely reasonable, of course.

 

[Uniformed_ReRe]

I‘m saying make the schools fund the loans themselves. That would encourage some discretion about granting unreasonably large loans for impractical degrees and give them an incentive to keep costs under control.

 

[BamaFan1137]

I‘m saying make the schools fund the loans themselves. That would encourage some discretion about granting unreasonably large loans for impractical degrees and give them an incentive to keep costs under control.

By not allowing low interest government loans you would force the school or the individual to front the money...so on that we agree.

 

[BillCutting4585]

I‘m saying make the schools fund the loans themselves. That would encourage some discretion about granting unreasonably large loans for impractical degrees and give them an incentive to keep costs under control.

That’s how it used to be until Obama changed it and let Uncle Sam back the loans

 

[Uniformed_ReRe]

That’s how it used to be until Obama changed it and let Uncle Sam back the loans

This goes back further than that. Direct federal lending for student loans started during the George H. W. Bush administration and has been reauthorized and expanded a couple of times since.