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Old 06-22-2020, 10:49 PM
 
26,180 posts, read 15,742,561 times
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Quote:
Originally Posted by SuiteLiving View Post
Thanks, very interesting although it is not an absolute requirement apparently.


D. Beginning with the 2017-2018 school year, each graduating senior shall, as part of his individual graduation plan and as a requirement for graduation, complete at least one of the following steps to support a successful transition to postsecondary education or training:
1. Complete and submit to the Office of Student Financial Assistance an application for a Taylor Opportunity Program for Students (TOPS) award;
2. Complete and submit to the U.S. Department of Education a Free Application for Federal Student Aid; or
3. A parent or legal custodian, or a student legally emancipated or of the legal age of majority, may certify a
waiver in writing to the LEA if he refuses to complete such an application.
4. If a graduating senior is not able to fulfill the requirements of subsection D of this section due to extenuating circumstances, the LEA may apply for a waiver to be approved by the state superintendent of education to waive the student of this requirement for graduation.

I think you miss the point that children are encased in a "college is your only good option" environment for their entire primary and secondary school careers. Morever, they are only offered guidance and assistance toward a bachelor's degree...they are on their own in gathering information or financial aid for anything else.


The bottom line is that most are going to follow the path they are directed, encouraged, and aided toward.


The fact that the government is such close collusion with the banks to put these youngsters into debt they cannot escape really looks more like racketeering.
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Old 06-22-2020, 10:50 PM
 
26,180 posts, read 15,742,561 times
Reputation: 28200
Quote:
Originally Posted by Ron61 View Post
I am opposed to any student loan debt forgiveness programs for two reasons.

1. What does this teach anyone except that it’s ok to be irresponsible and go in debt to the tune of tens or hundreds of thousands of dollars because at some point it will magically disappear? Let me know how that works in real life.

2. Debt forgiveness is just someone’s way of hiding the fact that I as a taxpayer will ultimately be paying that debt through increased taxes, higher interest rates, or some other method where the taxpayer gets the shaft again.

Parents who encourage their kids to assume excessive debt are just as irresponsible as the child doing it.

Since it's the government that is encouraging and enabling it, maybe the government is as irresponsible as the child.
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Old 06-22-2020, 11:01 PM
 
Location: Silicon Valley
6,431 posts, read 3,325,419 times
Reputation: 10440
Best thing for people with school loans to do is the go with the standard repayment plan and not the graduated one. That graduated one is a debacle. My sister paid on hers for a decade before realizing she'd only cleared like 5% of the balance. Then she started making larger payments. She might have it cleared before her stepson goes to school, but probably not.



IMO, the interest rates are too high on these loans, but it's a tough call. SLM bonds are a regular in the junk bond market, regularly selling for a 20% haircut to their par value when their interest rates should command a premium. So if it's not working for lenders or bondholders, a better solution at least on interest rates may be available. It would be interesting to see the bonds sold by major selection. Even more so to allow that to feed back into availability of loans to begin with.



But none of this touches the root issue. How to efficiently instruct young people in a trade or avenue of study so that the initial cost to finance is not so great. Is the quality of incoming freshman as high as it once was? If not, perhaps there's issue further upstream that really are in the government's scope for improvement. Is the classroom setting still the best way to convey information? Is it important to force students through a 4 year degree to arrive at certain professions that require said degree to participate?



I have a feeling the future of education will be like a series of education plans that can be taken. Still instructor lead, and people may opt to take time off to attend lots of them, but it's an education in a more granular approach that can build into certain designations. Until then, it's the same design as hundreds of years ago, and it's easy to bloat costs on.
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Old 06-22-2020, 11:08 PM
 
5,430 posts, read 1,890,535 times
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Quote:
Originally Posted by Lillie767 View Post
I don't know. How much of that cancelled student debt are you willing to pay? How much are the banks going to write off their books?

Maybe we shouldn't be encouraging everyone to go to college and be swallowed by debt. If people are $100 - $200 thousand in debt, maybe we encourage others to do the same.

Why did college costs sky rocket? Generally because students could borrow the money. If student loans were not so easy to obtain, colleges would not have been able to raise their prices so much and so fast.

Students are not making sound economic choices. For people going to college, they should be able to figure this out before they are underwater.
This. If we reward bad choices people will keep making them. One problem is that too many liberal elites are telling people they have to go to college to be successful. If that's true it's only because we let our manufacturing industry die. If we didn't let our school go down the crapper people wouldn't have to go to college to get a good education. 20% to 60% of community college students needing remedial coursework. We should also have a vocational education training system like Germany. Guess what? In June 2017, President Donald J. Trump signed an executive order on “Expanding Apprenticeships in America” that seeks to increase the availability of such programs. The fake news media was too busy printing anti-Trump lies and propaganda to cover it.

https://webcache.googleusercontent.c...&ct=clnk&gl=us
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Old 06-22-2020, 11:22 PM
 
Location: NYC
20,553 posts, read 14,946,776 times
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I have a 6 figure job and almost a 6 figure business and loan forgiveness will not boost entrepreneurship.

It is through economic hardship that one learns how to manage finances and figure out ways to improve their entrepreneurship. I spoke with people in public about entrepreneurship before, it is through calculated risk taking and a little luck that helps people take their ideas further.

A long time ago, I won't say when but I owed a ton of money and had student loan to pay. I had only about $4000 left in my savings that the debt collectors could've easily taken it away but I used the money and bought ideas that helped me generated almost $2k a month. I did that because I was pushed to the brink of financial collapse.

Had I not had that situation, I would taken the $4k and went on vacation and had nothing left to show for. That is exactly how most Americans end up in debt because they had no pressure if everything was taken cared of for them by parents and no pressure to make money to pay bills. I know my co-workers at the time were all taking vacations to far away destinations. Now fast forward 10+ years and now I have more than one property, close to 6 figure business on the side even during COVID19 I'm doing well so far because my business did not take a hit. My investment nosedived in March but now I'm up again.

These are all lessons you gained once you've been through financial hardships.
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Old 06-22-2020, 11:35 PM
 
Location: In Your Head
1,348 posts, read 1,045,814 times
Reputation: 1492
Quote:
Originally Posted by TheArchitect View Post
Could a cancelation or significant reduction in student debt over the next couple of years for working adults, effectively provide a boost to the housing market and also spur entrepreneurship on the heels of the economic effects of the Covid shutdown?

Curious to hear some of the pros/cons of this idea.




WSJ article below:

"Student loans prevented 400,000 young Americans from buying homes, Fed says in paper covering 2005 to 2014"


https://www.wsj.com/articles/fed-say...et-11547657473


https://www.businessinsider.com/stud...nership-2019-7


https://hbr.org/2019/04/student-debt...-entrepreneurs








I’d rather do the student loan forgiveness instead of bailing out banks/businesses AGAIN.
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Old 06-23-2020, 12:38 AM
 
Location: Oregon, formerly Texas
9,029 posts, read 5,904,381 times
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I don't know where you people get the b.s. you're spewing.

The high school I went to did not "force" college on anyone, but they were realistic about what kinds of jobs you can likely get with high school only. The AP students were acculturated to go to college but the rest of us, no. I specifically remember the military was marketed heavily to those of us not in AP. There were also vocational programs where once youbhad satisfied your academic credits, you could work a job & get credit kind of like an internship. I remember hospitality and culinary being options.

They took us on career days. In my hometown there was an aerospace industry. One plant made pieces of rockets to launch satellites. There was also an aircraft parts plant they took us to. Guess what, you needed college for those jobs. The technical/community college was in the same complex.
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Old 06-23-2020, 12:49 AM
 
498 posts, read 340,414 times
Reputation: 629
Quote:
Originally Posted by Lillie767 View Post
I don't know. How much of that cancelled student debt are you willing to pay? How much are the banks going to write off their books?

Maybe we shouldn't be encouraging everyone to go to college and be swallowed by debt. If people are $100 - $200 thousand in debt, maybe we encourage others to do the same.

Why did college costs sky rocket? Generally because students could borrow the money. If student loans were not so easy to obtain, colleges would not have been able to raise their prices so much and so fast.

Students are not making sound economic choices. For people going to college, they should be able to figure this out before they are underwater.
I agree! If you can’t afford school or a purchase, you can’t buy it.
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Old 06-23-2020, 06:47 AM
 
26,180 posts, read 15,742,561 times
Reputation: 28200
Quote:
Originally Posted by redguard57 View Post
I don't know where you people get the b.s. you're spewing.

The high school I went to did not "force" college on anyone, but they were realistic about what kinds of jobs you can likely get with high school only. The AP students were acculturated to go to college but the rest of us, no. I specifically remember the military was marketed heavily to those of us not in AP. There were also vocational programs where once youbhad satisfied your academic credits, you could work a job & get credit kind of like an internship. I remember hospitality and culinary being options.

They took us on career days. In my hometown there was an aerospace industry. One plant made pieces of rockets to launch satellites. There was also an aircraft parts plant they took us to. Guess what, you needed college for those jobs. The technical/community college was in the same complex.

Do you think your town with an aerospace industry is typical?
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Old 06-23-2020, 07:21 AM
 
2,403 posts, read 1,313,712 times
Reputation: 3725
Quote:
Originally Posted by Ralph_Kirk View Post
I think you miss the point that children are encased in a "college is your only good option" environment for their entire primary and secondary school careers. Morever, they are only offered guidance and assistance toward a bachelor's degree...they are on their own in gathering information or financial aid for anything else.


The bottom line is that most are going to follow the path they are directed, encouraged, and aided toward.


The fact that the government is such close collusion with the banks to put these youngsters into debt they cannot escape really looks more like racketeering.
I understand you believe that, I just happen to have a different opinion.

Again, if they can't make good decisions about their financial future, why are they allowed to make other important decisions like voting or entering into contracts.
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