The Democrat Utopia

[sho]

21 minutes ago, Archy1221 said:

I’m 

 

the biggest issue with student loans is the predatory nature of the interest rates and scamming 18 year olds that have no idea on what a good loan is versus a bad loan.   I'm more in favor of restructuring all current student loans and future loans to be more manageable.  Just making up random numbers as an example, but something like all student loans are at 5% interest compounded annually, interest is waved if your adjusted gross income is under $50,000 annually for people filing single and under $80,000 for all other filing options, and still have these excluded from bankruptcy filings.  People shouldn't be paying monthly minimum and seeing the payoff amount go up, which is happening, because of predatory loans.   This could also go in the Education thread, but there needs to be a financial literacy class (teaching kids about credit cards, loans, investments etc) that is required for graduation.   Personally I think it should be two classes a more basic class you take sophomore or junior year of HS and an advanced class you take your senior year, to help kids understand what happens when you get credit cards at 18, when you get your 100,000 student loan and the risks involved with that.  Yes, parents need to help with this as well, but there are A LOT of financially illiterate parents out there and these kids have no idea what they are getting into when signing that document.

[Archy1221]

 

[sho]

23 minutes ago, Archy1221 said:

 

Good for her that her family have an income that she can afford to pay her student loan and still get this house, I'm not sure why Greg (or Fox/Republicans et al) is questioning this.   I don't see where she is in default on her loan, just mentioning, as I posted earlier, what one of the biggest problems with student loans is, if she got a loan for $180,000 and has been paying for 11 years, the payoff balance should not be more than the initial loan, let alone over 10% increase in payoff amount.   This is a predatory loan that should be fixed.   Retroactively fixing predatory student loans would go along way in fixing the student loan issues that too many people are dealing with and are not nearly as fortunate as Alessandra.   Doing so would be a boon for the economy and coming to a solution for this issue that is financially crippling so many Americans should be a top tier priority for all elected officials.

[sho]

 

[Archy1221]

3 hours ago, sho said:

Good for her that her family have an income that she can afford to pay her student loan and still get this house, I'm not sure why Greg (or Fox/Republicans et al) is questioning this.   I don't see where she is in default on her loan, just mentioning, as I posted earlier, what one of the biggest problems with student loans is, if she got a loan for $180,000 and has been paying for 11 years, the payoff balance should not be more than the initial loan, let alone over 10% increase in payoff amount.   This is a predatory loan that should be fixed.   Retroactively fixing predatory student loans would go along way in fixing the student loan issues that too many people are dealing with and are not nearly as fortunate as Alessandra.   Doing so would be a boon for the economy and coming to a solution for this issue that is financially crippling so many Americans should be a top tier priority for all elected officials.

She graduated law school.   Unless she is complete dips#!t for a lawyer, she she understand the concept of paying off her loan.  I have two brothers that are lawyers, putting themselves through school and paid off their loans in full on time.   What this lady is complaining about is nonsense, especially if she is living in $1,000,000 home while b!^@hing about her student loan.  
 

A lawyer her age should be making well over $250,000 and have no problem paying off her loan in full on time.  
 

The reason the payoff balance is MORE than the initial lone 11 years later while making a lawyer salary is her fault not the rest of society’s. 

[Archy1221]

33 minutes ago, sho said:

 

Comparing PPP loans and student loans is like comparing a banana to a strawberry.   

[JJ Husker]

23 minutes ago, Archy1221 said:

She graduated law school.   Unless she is complete dips#!t for a lawyer, she she understand the concept of paying off her loan.  I have two brothers that are lawyers, putting themselves through school and paid off their loans in full on time.   What this lady is complaining about is nonsense, especially if she is living in $1,000,000 home while b!^@hing about her student loan.  
 

A lawyer her age should be making well over $250,000 and have no problem paying off her loan in full on time.  
 

The reason the payoff balance is MORE than the initial lone 11 years later while making a lawyer salary is her fault not the rest of society’s. 

Absolutely.

I’m kind of sick of this situation being referred to as predatory loan making. #1- Nobody HAS to go college. B- If you can’t understand the numbers and terms of a simple student loan, you really aren’t smart enough to attempt higher education. And 3- Whatever happened to being responsible for what you can afford? There are literally hundreds of higher education options that won’t put a person into 6 figure debt.

 

IMO, the solution is to quit putting the majority of kids on the college track. Discern their ability and desires and point more kids to vocations, community colleges or directly to jobs. When demand drops enough for these schools that rack up $100k plus in loans maybe then they will get more affordable. And maybe educate kids better in HS so we’re sure they understand those loan papers if they sign them.

[ZRod]

59 minutes ago, JJ Husker said:

Absolutely.

I’m kind of sick of this situation being referred to as predatory loan making. #1- Nobody HAS to go college. B- If you can’t understand the numbers and terms of a simple student loan, you really aren’t smart enough to attempt higher education. And 3- Whatever happened to being responsible for what you can afford? There are literally hundreds of higher education options that won’t put a person into 6 figure debt.

 

IMO, the solution is to quit putting the majority of kids on the college track. Discern their ability and desires and point more kids to vocations, community colleges or directly to jobs. When demand drops enough for these schools that rack up $100k plus in loans maybe then they will get more affordable. And maybe educate kids better in HS so we’re sure they understand those loan papers if they sign them.

No kid 17 to 20 something is ever going to appreciate how a loan works. At that age the majority of us didn't give two s#!ts, and had no concept of ever seeing the full term of the loan. We we're just thinking about how to get beer for the weekend.

 

I mean even grown a$$ adult don't get it now. People are taking out 8 year loans on f#&%ing cars!

[sho]

2 hours ago, Archy1221 said:

She graduated law school.   Unless she is complete dips#!t for a lawyer, she she understand the concept of paying off her loan.  I have two brothers that are lawyers, putting themselves through school and paid off their loans in full on time.   What this lady is complaining about is nonsense, especially if she is living in $1,000,000 home while b!^@hing about her student loan.  
 

A lawyer her age should be making well over $250,000 and have no problem paying off her loan in full on time.  
 

The reason the payoff balance is MORE than the initial lone 11 years later while making a lawyer salary is her fault not the rest of society’s. 

Dollars to donuts she understands her loan now, whether she did when she got them, is pure speculation, but she’s pointing the issue, not saying woe is me.  The issue isn’t about her.  You are missing the point completely, not surprising as you stay on the edge of issues trying to dunk on people with some asinine point but more times than not you

It’s quite comical watching the spin and continue on missing the main point,  staying with your fringe scenarios that you think make you sound informed on the topic when everyone can see that you are just a GOP cuck happily lapping up the mess while those who you support openly reach into your wallet while telling how great it can be, knowing you’ll never be included.  

[JJ Husker]

5 hours ago, ZRod said:

No kid 17 to 20 something is ever going to appreciate how a loan works. At that age the majority of us didn't give two s#!ts, and had no concept of ever seeing the full term of the loan. We we're just thinking about how to get beer for the weekend.

 

I mean even grown a$$ adult don't get it now. People are taking out 8 year loans on f#&%ing cars!

I mean you’re not wrong. But that only leaves two options, don’t make any loans for education at all or continue as it has been. The last thing we should do is teach people that signing those papers means nothing.

 

Car loans will be the next thing people are whining about. But but but I had to get a newer car after 6 years and I still have 2 years of payments left. Somebody else needs to pay the price for my new car. I didn’t understand. I can’t afford to pay for it. Screw the people that didn’t choose to buy a $100k vehicle, they can help bail me out.

 

BTW, 8 years is insane. I remember when 4 yrs was the max. I guess that’s what happens when people only consider the monthly payment amount and not the total cost.

[BigRedBuster]

As I’ve said, I’ve been against the student loan forgiveness. And, I’m not going to feel sorry for someone living in a million dollar home. 
 

However, I deal with various kinds of loans every day.  I have for decades. I know how loans work. 
 

Can someone tell me how someone has a loan that they have made every scheduled payment for years….and now they owe more than the original loan?

 

Either something isn’t right in the story or the amortization of the loan is wrong and needs fixed. 
 

I have never had a loan that if I make all the payments, the loan amount increases. 

[BigRedBuster]

3 hours ago, JJ Husker said:

I mean you’re not wrong. But that only leaves two options, don’t make any loans for education at all or continue as it has been. The last thing we should do is teach people that signing those papers means nothing.

 

Car loans will be the next thing people are whining about. But but but I had to get a newer car after 6 years and I still have 2 years of payments left. Somebody else needs to pay the price for my new car. I didn’t understand. I can’t afford to pay for it. Screw the people that didn’t choose to buy a $100k vehicle, they can help bail me out.

 

BTW, 8 years is insane. I remember when 4 yrs was the max. I guess that’s what happens when people only consider the monthly payment amount and not the total cost.

I don’t necessarily agree. There are always ways to improve the system.  I would need answers to my last question to come up with those though. 

[JJ Husker]

2 minutes ago, BigRedBuster said:

I don’t necessarily agree. There are always ways to improve the system.  I would need answers to my last question to come up with those though. 

The problem is setting monthly repayment caps based on income or ability to pay. Guessing that turns it into an interest only payment, and possibly not even all of the current interest. 
 

That would be a good place to start fixing things, tweak the loan amortization so that principle is always included in every payment. Don’t let people pay paltry amounts that won’t help them in the long run. I had to shake my head when Biden came back with a plan to further reduce people’s monthly payments. All that will do is make sure they are in debt forever and possibly allow the principle amount to grow higher. It’s crazy.

[BigRedBuster]

2 minutes ago, JJ Husker said:

The problem is setting monthly repayment caps based on income or ability to pay. Guessing that turns it into an interest only payment, and possibly not even all of the current interest. 
 

That would be a good place to start fixing things, tweak the loan amortization so that principle is always included in every payment. Don’t let people pay paltry amounts that won’t help them in the long run. I had to shake my head when Biden came back with a plan to further reduce people’s monthly payments. All that will do is make sure they are in debt forever and possibly allow the principle amount to grow higher. It’s crazy.

Ok….so, the system reduces payments based on ability to pay?  That’s reasonable….however, like you said, that reduction needs to be on interest, not principle. 
 

Something still doesn’t add up though with the story above. How would’ve her payments been reduced because of her ability to pay, how then could she afford that house?

[teachercd]

11 hours ago, JJ Husker said:

Absolutely.

I’m kind of sick of this situation being referred to as predatory loan making. #1- Nobody HAS to go college. B- If you can’t understand the numbers and terms of a simple student loan, you really aren’t smart enough to attempt higher education. And 3- Whatever happened to being responsible for what you can afford? There are literally hundreds of higher education options that won’t put a person into 6 figure debt.

 

IMO, the solution is to quit putting the majority of kids on the college track. Discern their ability and desires and point more kids to vocations, community colleges or directly to jobs. When demand drops enough for these schools that rack up $100k plus in loans maybe then they will get more affordable. And maybe educate kids better in HS so we’re sure they understand those loan papers if they sign them.

No kidding, they are not predatory (Credit cards are but not student loans) and face it, none of these people with loans feels like a "victim", they just thought they were going to magically be debt free...and now they are pissed.

 

I would be pissed as well!  Who wouldn't?  If the people with loans are like me they probably already started to plan out how they were going to use their new freed up cash.

 

Being pissed about it is natural.