Student Loans and Student Loan Debt

Question: Why can’t any President cancel all student loans debt?

Answer: Because it funds Obamacare.

That is right. Student loan payments fund The Affordable Care Act. So welcome to your indentured servitude.

A responsible person should not default on his or her student loan, but when the Federal Government recklessly spends your tax dollars and obligates you (the taxpayer) to a Thirty-one trillion-dollar debt, then the structure needs to be replaced.

Higher education has become unreachable for the middle class. This is because colleges and universities don‘t need to compete with each other when the government pays (whatever the cost) through the use of a Sallie Mae loan (and others). This curtails the competitive environment that keeps education costs in check. Ultimately, the predatory lender behind it all is the Federal Government. 

Realistically, you have borrowed money from the government, just like the major banks. Unlike the major banks you don’t get to borrow your money at the Fed Funds rate of 5.08% (as this is being written).  The government should not be finding ways to steal from those who are emerging to the job market by slapping them with 9% interest when the borrower could be at 5.08%. Smaller payments make for a manageable life in economic downturns and inflationary periods (that sounds familiar).

Further, penalties on student loan borrowers should be forgiven. All penalties. Last, no borrower should pay more than the principal and interest on the loan, regardless of default interest and penalties. Once a borrower has made enough payments to repay the principal and interest, the loan should be noted as “paid off”. To keep the government in check, the government should NOT be allowed access to any interest generated from your payments until the loan is paid in full.

Government organizing itself for profit is really what is going on. That is wrong. Students are being punished.

Student loans structures need to be rethought and segregated from all other government policy.

Look for LINDEMANN, vote for LINDEMANN!