Do you support Student Loan Bankruptcy or forgiveness?

[Doctor Amadeus]

New startup aims to help student loan borrowers declare bankruptcy

Reset Button — which launches this week— aims to provide a legal platform to connect student loan borrowers who would like to consider personal bankruptcy as an option for relief with lawyers specializing in the field.

Rob Hunter, founder and chief executive officer of the startup, told Yahoo Finance that he saw a need for such a service on both ends.

For the student borrower, making bankruptcy a viable option is “not just the case of getting their debts discharged,” said Hunter. “It’s what people are able to do with their lives without this cycle of debt hanging over them all the time.”

For the lawyers in the consumer bankruptcy space, since “it is not the most technologically-minded industry that's out there, … using technology, we are able to take [administrative] work off the plate of the lawyer that otherwise would stand in the way from just doing what they are good at, which is just practicing law and giving legal advice and serving their clients,” Hunter explained.


https://www.yahoo.com/money/student-...142034126.html

Do you support Student Loan Bankruptcy or forgiveness?


I would say YES to one or the other or both.

First off I am NOT a fan of Bankruptcy to begin with, and I know and understand WHY we don't allow Student Loans to be included, HOWEVER IF we are going to allow BANKS to get a bail out, Corporations, and even multi million dollar income earners out of much more debt.

There is no Reasonable argument against forgiveness, if not at least, the ability to declare bankruptcy after a certain period of time has past.


Holding people who are young to a debt and a standard none other has been held to including banks themselves is not only Unfair, but more importantly it is stifling the economy and hurting the U.S in other ways.

But what do you think, make those brats pay, pull themselves up by those boot straps and get it done, or forgive and forget after a certain period of time, or just allow bankruptcy, make them take a black eye, staple it to every application to every borrower in the future and move on?

Personally I my vote is forgiveness, the reason is because we have had enough bad actors complicit in helping young people who are no worse than anybody else, get into that debt in the first place.

[the game]

Something will have to be done eventually. Boomers are starting to retire and will eventually start selling off their houses. With so many people in massive student loan debt people won't be able to buy them.

[Doctor Amadeus]

Something will have to be done eventually. Boomers are starting to retire and will eventually start selling off their houses. With so many people in massive student loan debt people won't be able to buy them.

Yeah, I think some sort of counseling and requirement going forward needs to happen to, I mean that already exist, but for either forgiveness or bankruptcy it should be a seriously involved process.

I kind of lean towards Forgiveness for some and Bankruptcy options for others since Bankruptcy laws already have limitations on how you can fire and showing the bowers inability to pay.

But the unintended consequences so far is not just students being punished, our entire society is, and that isn't completely by accident. Plenty of diploma mills cashed those checks.

[XDurionX]

I'm still baffled by the fact americans willfully accept being enslaved by debt for their education. "Land of the free"...

[crewskater]

Schooling is optional, therefor the responsibility should be on the borrower, not society. People need to think a bit more about going to school. You don't have to go to a 4 year university to get a good degree. The tech has plenty of options to choose from that are much cheaper.

[Jotaux]

On the one hand its unfair to the people that have sacrificed and paid off their student loans. On the other hand the cost of school is ridiculous and the loan companies are predatory. Education should be free.

[Doctor Amadeus]

Schooling is optional, therefor the responsibility should be on the borrower, not society. People need to think a bit more about going to school. You don't have to go to a 4 year university to get a good degree. The tech has plenty of options to choose from that are much cheaper.

Yes, but so is home buying, so is bank lending, we have already set fourth the precedent that we will forgive debt for the greater good, and in many cases in my opinion for the better.

Plenty of scams out their not only dupe people who should know and have resources they dupe dumb young people, who at least somewhat have an excuse, but everyone deserves relief, especially young people doing their best to do the right thing but make mistakes.

This is not light mistake, and as I said many had help getting into it.

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On the one hand its unfair to the people that have sacrificed and paid off their student loans. On the other hand the cost of school is ridiculous and the loan companies are predatory. Education should be free.

Nothing is Free and neither should education in my opinion, I am also opposed to dead beats, because I had to crawl my way out of debt, but that said it's silly to pretend something wasn't and isn't wrong with this student loan bullshit.

[the game]

Yeah, I think some sort of counseling and requirement going forward needs to happen to, I mean that already exist, but for either forgiveness or bankruptcy it should be a seriously involved process.

I kind of lean towards Forgiveness for some and Bankruptcy options for others since Bankruptcy laws already have limitations on how you can fire and showing the bowers inability to pay.

But the unintended consequences so far is not just students being punished, our entire society is, and that isn't completely by accident. Plenty of diploma mills cashed those checks.

I mean we already have forgiveness programs. 10 years for people in public services and non profit organizations like hospitals. 25 years for everyone else. Assuming you make your payments on time that whole time. But I'm not sure those are good enough. I'm clearly not a left winger. But Some of their ideas have merit. Although somewhat extreme.

We already bailed out the auto industry and the banks. I somewhat liked the idea that Bernie had about using wall street speculation to erase student loans.

[Kathandira]

I'm close to paying my debt off. Even if forgiveness is implemented after I pay mine off, i'll still be happy to see it happen. In a state like mine (NJ), we are seeing quite an imbalance in Houses to Apartments over the past decade. Less houses are being built, and more apartment buildings are showing up. This lead to more than 1/2 of those who live in New Jersey are renters, not homeowners. This is a problem imo as it shows that newer generations of those who should be able to own a home, simply can't afford to enter the market. This combined with rising property taxes in our state (8.5k a year on average, range between 5k-12k a year) housing has become very expensive since the supply is low, but the demand is still pretty high, it is very difficult for a young person to afford their first home.

[Doctor Amadeus]

I mean we already have forgiveness programs. 10 years for people in public services and non profit organizations like hospitals. 25 years for everyone else. Assuming you make your payments on time that whole time. But I'm not sure those are good enough. I'm clearly not a left winger. But Some of their ideas have merit. Although somewhat extreme.

We already bailed out the auto industry and the banks. I somewhat liked the idea that Bernie had about using wall street speculation to erase student loans.

Well I didn't like the bail out AT ALL, but I looked at it through the lens of the greater good, but looking back I am still pissed about it, as for what we have now, yes, I am aware of what you said, although not all the details because I have only learned from others who have gone through it, as I personally paid off my debt.

BUT, I don't think it's extreme, just extremely long over due.

At the very least, it should be a Bankruptcy thing, you file the paper work, you go through an audit, and you are barred from borrowing for 7 to maybe it's 10 years now.

I would also be in favor of this being retroactive going back a while to cover those most in need of relief, especially people aging and should be saving for retirement.


As for Bernie, yes he has some great ideas.

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I'm close to paying my debt off. Even if forgiveness is implemented after I pay mine off, i'll still be happy to see it happen. In a state like mine (NJ), we are seeing quite an imbalance in Houses to Apartments over the past decade. Less houses are being built, and more apartment buildings are showing up. This lead to more than 1/2 of those who live in New Jersey are renters, not homeowners. This is a problem imo as it shows that newer generations of those who should be able to own a home, simply can't afford to enter the market. This combined with rising property taxes in our state (8.5k a year on average, range between 5k-12k a year) housing has become very expensive since the supply is low, but the demand is still pretty high, it is very difficult for a young person to afford their first home.

Yeah I hear you, this I feel the same way, I feels like a fucking plane crash, I survived it by not getting on the plane, some like you it didn't crash and you made it through the turbulence.

But people still have to travel to get where they need to be, and as a society we need that too, however the Airline sucks, and I do NOT want other's who got on that crashed unable to get help, but I also think changes needs to be made.

[I Push Buttons]

I am fine with means testing for repayment options and pausing/lowering the accruing of interest during periods where you can't pay/pay less and eventual long term forgiveness.

So like you shouldn't be expected to pay more than some percent of your income towards it, otherwise the payments and corresponding interest get reduced to accommodate you. And if you are below some income threshold, then you don't have to pay anything at that time and no interest accrues at all.

When you take the loans, they should calculate what your total repayment including interest would be after the ten years or whatever the life of the loan would be if you just make standard payments the whole time, and you will never be charged more than that. Even if it takes you far longer to pay it back.

And if you are truly struggling and never get out of a hole and can never pay it back, after a few decades they write it off with forgiveness.

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But no, you shouldn't be able to bankruptcy your way out of student loans, that's bullshit.

[Captain N]

Absolutely. The baseline education for a lot of jobs these days is becoming a degree and X amount of years experience. It's no different than what it was in the past where a high school diploma was the minimum requirement. Forgiving the current student debt issue and rolling tertiary education into the now standard K-12 should be the goal here. Not only does this help young adults actually be able to contribute more to the economy since a majority of their funds out of school aren't going into their student loans, it also helps older folks who may need to go back to school to learn new job fields as theirs are removed.

[the game]

Well I didn't like the bail out AT ALL, but I looked at it through the lens of the greater good, but looking back I am still pissed about it, as for what we have now, yes, I am aware of what you said, although not all the details because I have only learned from others who have gone through it, as I personally paid off my debt.

BUT, I don't think it's extreme, just extremely long over due.

At the very least, it should be a Bankruptcy thing, you file the paper work, you go through an audit, and you are barred from borrowing for 7 to maybe it's 10 years now.

I would also be in favor of this being retroactive going back a while to cover those most in need of relief, especially people aging and should be saving for retirement.


As for Bernie, yes he has some great ideas.

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Yeah I hear you, this I feel the same way, I feels like a fucking plane crash, I survived it by not getting on the plane, some like you it didn't crash and you made it through the turbulence.

But people still have to travel to get where they need to be, and as a society we need that too, however the Airline sucks, and I do NOT want other's who got on that crashed unable to get help, but I also think changes needs to be made.

One thing that would help even though it would never happen is to just eliminate interest on student loans. Would definitely help. i see so many people talking about it on youtube that most of their student loan payments only really pay the interest and not on the actual loan. Because interest is so high.

[Doctor Amadeus]

One thing that would help even though it would never happen is to just eliminate interest on student loans. Would definitely help. i see so many people talking about it on youtube that most of their student loan payments only really pay the interest and not on the actual loan. Because interest is so high.

Well as I said I am for forgiveness, but that doesn't mean I am naive these kids took loans, and if they were smart enough to do that, they weren't innocent, this is their fault, but the problem is now is we are beyond that, yes the interest is too high, yes, A person shouldn't get into this.

But at the volume this happened, it wasn't just interest, or people who should have simply known better. My point is forgiveness yes, but the process also has to to fixed.

I think their needs to be better and tighter regulations when taking loans.


For example

Loans for say a Medical Degree or Nursing, vs a Degree in say Basket Weaving, or Energy Crystals.


Shouldn't be money lent out the same for all of the above and no such schools allowed for specialized student loans in the first place.


You want a Masters Degree in Basket Weaving great, but school can't charge more than it's worth, and the money should be closely watched.

[crewskater]

Yes, but so is home buying, so is bank lending, we have already set fourth the precedent that we will forgive debt for the greater good, and in many cases in my opinion for the better.

Plenty of scams out their not only dupe people who should know and have resources they dupe dumb young people, who at least somewhat have an excuse, but everyone deserves relief, especially young people doing their best to do the right thing but make mistakes.

This is not light mistake, and as I said many had help getting into it.

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Nothing is Free and neither should education in my opinion, I am also opposed to dead beats, because I had to crawl my way out of debt, but that said it's silly to pretend something wasn't and isn't wrong with this student loan bullshit.

As stated in my OP, people need to be smarter about going to school. If you're going for gender studies or liberal arts, chances are you won't get a high paying job when you graduate. Maybe salaries should be more transparent for students or their career paths laid out for them?

If you allow students to file bankruptcy or loan forgiveness, how is that not giving it to them for free?

[Belize]

Schooling is optional,

Not if you want to have a prolific and competitive world market.

2 year tech degrees or even coding bootcamps don't drive innovation. What they give you are workers that are ok to decent at what they trained for, and only that.

Same thing for like, plant operators. Yeah they can turn valves and catch samples pretty good, and yeah they make good money, but a plant still need piping designers, process engineers, IE engineers etc to run, and those are all 4 year degrees.

[I Push Buttons]

One thing that would help even though it would never happen is to just eliminate interest on student loans. Would definitely help. i see so many people talking about it on youtube that most of their student loan payments only really pay the interest and not on the actual loan. Because interest is so high.

Don't know what those people are doing wrong, but those claims seem rather crazy given my own experience.

I graduated with my bachelors in December 2013 with about $36,000 in debt. I have been paying about $370 a month since six months after I graduated for a grand total of like ~$24,800 paid so far. I still have ~$16,300 left on my principal, which will be paid off in June of 2024 if I continue paying the same $370 a month, which is another ~$19,600.

So a total repayment of ~$44,400 on $36,000 debt. I don't think at any point other than the first few months of repayment have my payments been 'mostly interest', and for years now the only interest I have been paying has just been whatever accrued monthly.

[Shadowferal]

Not without some caveats...

[Acidbaron]

Isn't putting young people in debt something that has been going on for ages because banks are left to their own devices and become very predatory, where as consumers are just cattle to the slaughterhouse to them.

I remember 16+ years ago when i was in my teens that i was jealous that i couldn't get a Credit card as easily as my American gamer friends, that i actually had to proof to the bank that i was credit worthy, that i had no debt and a monthly income to actually pay for it. And this was mandated by the government.

I know credit was invented to "rescue" the economy to increase purchase power by stalling the payment. While this is not completely the same as student loans i find it absurd that you have to put yourself in serious debt to develop yourself and i find it absurd that banks are not held accountable when they hand out loans to those who struggle to pay it back, ESPECIALLY since the last crisis.

I know Obama tried to do something but he was still too far right wing economically to crack down hard on banks.

[Mistame]

Ideally, we'd focus on the actual problem: Predatory lending practices and ridiculous interest rates.

I'm still baffled by the fact americans willfully accept being enslaved by debt for their education. "Land of the free"...

Indebted, sure. But "enslaved" is a bit dramatic, not to mention inapplicable.

On the one hand its unfair to the people that have sacrificed and paid off their student loans. On the other hand the cost of school is ridiculous and the loan companies are predatory.

Agreed.

Education should be free.

Yeah, no. This puts the bill on the shoulders of taxpayers and I'm already paying too much for other people's kids.

Same thing for like, plant operators. Yeah they can turn valves and catch samples pretty good, and yeah they make good money, but a plant still need piping designers, process engineers, IE engineers etc to run, and those are all 4 year degrees.

Don't be talking smack about plant operators. Also, while you're not wrong, an education will only get you so far without any actual experience. Can't tell you the number of times I've had to explain to some punk kid with an engineering degree why his ideas won't work in our plant.