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Student Loan Forgiveness Act Could Help Unfreeze Economic Growth

student loan forgiveness act 2012

Student loan forgiveness is a pretty sensitive topic right now- with some people strongly advocating a kinder, gentler approach to student loans, while others feel that no matter how oppressive, loans should be paid back as they were originally termed in order to teach borrowers “responsibility.”

However, the one most visible part of the student loans issues is its scope- by all accounts, we’re heading for another big economic setback if we just allow the situation to continue without action. In the past decade, student borrowing has skyrocketed along with climbing college costs, and an entire “lost generation” is not starting families, buying cars, getting mortgages or otherwise contributing economically in the ways previous generations did. And by all accounts, the problem is actually way worse than even shrill news reports indicate- young people are drowning in a sea of debt before they ever have a chance to pay back the first cent.

Late in 2011, outstanding student loan debt surpassed $1 trillion in the US, which is even higher than the original high estimates. Among the reasons cited for the uptick are an increase in students due to high unemployment, the effects of cutbacks in state funding and a higher number of defaults and deferments due to the economic meltdown.

Earlier this month, Rep. Hansen Clarke (D-MI) introduced HR 4170, known as the Student Loan Forgiveness Act of 2012. Under the terms of the bill, some strong concessions (although forgiveness is a strong word, considering) would be given to borrowers to attempt to ameliorate the situation. Payments would be capped at 10% of a borrower’s income and bring forgiveness after 10 years of payments- still a significant chunk of change, but not as oppressive as the massive payments may debtors are crushed by.

Interest would be capped at 3.4%, half the 6.8% rate set to go into effect later this year. And provisions would be made for borrowers in low-income public service jobs, as well as for those who borrowed privately to refinance to federal loans. All in all, while it doesn’t entirely eliminate the obligation for borrowers, it looks like the Student Loan Forgiveness Act could provide some much needed breathing room.

All in all, do you think student loan forgiveness is an issue we should tackle now before it drags the economy down more?

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Comments

245 Responses to “Student Loan Forgiveness Act Could Help Unfreeze Economic Growth”

  1. Alice Slifer McCann Lantz

    I think all US CITIZEN student loans should be forgiven unless you chose a private university.

  2. Julie Gross- Cook

    I too managed to pay off all of my student loans! Pay it back….that is what is wrong with our society today…too many not taking responsibility for anything…it makes me sick.

  3. Linda Boulier Beaudoin

    Oh I am so excited about this possibility. As a mother and co-signer on my daughter's loans, I have been unable to buy a decent car, fix my home or buy any of the of the other things I would like because we are struggling together to make $850 a month payments. So, it's not just the students but parents as well whose buying power has been stifled by student loan debt.

  4. Alice Slifer McCann Lantz

    Wendy, how long did it take you to pay off? I have never understood why public grade and high schools are free (except for books, lab fees, etc.) but public universities weren't.

  5. Carolyn SM

    its ok to forgive billions in foreign loans, its ok to bail out banks and big business, but let OUR children just suck it up eh…. smh

  6. Alice Slifer McCann Lantz

    I would rather my tax $$ go to free education for US citizens than to foreign students or social programs for illegals. AND I think the cost of higher education is absurd.

  7. Laurie McIvor

    Very true!! I didn't just finish college to have someone forgive me of that debt! Now don't get me wrong paying back that much scares me but my parents raised me to take of my debt

  8. Natalie White

    With my student loans now, I am looking at ruffly 25 years at $575 a month to pay them back, and I still have another year to go… I can only imagine my friend who is almost done with her PhD and has over $250k in student loans.. I'm sure she will still be paying them back when she's dead and buried! Seriously, I don't mind paying them back, that's what I have a job, and a car for (to get to job and make money) but, it's hard to get a good job, that allows you to make more than minimum wage, to even stand half a chance at paying them back before I retire at 60. (I'm 27 now). A break would be nice…after all, I have a job and am not sitting on welfare.

  9. Anita Arcand

    Hey! I tried to pay off ea student loan I had w/ one lump sum on ea one, I even specified what my cks were for, but I didn't know they still chose to spread my lump sums over all 5 of my loans, keeping me stuck w/ interest payments, I know now what their motive was! They didn't want me to pay them off, they wanted to keep me in debt to keep paying for the rest of my life! BULLSH-T! And don't tell me :I paid all my off, you can too", You don't and didn't walk in my shoes to make a screwed up generalized statement like that!

  10. Alice Slifer McCann Lantz

    Believe me, my children have jobs and they are paying them back, but I completely agree with Natalie and Anita. Another thing, it really ticked me off that college professors told these eager, young, gullible kids that they would all get jobs making really good money right out of college and would get their student loans payed off in record time! Okaaaayyyyy, quit lying to my children! I told them they had to start at the bottom and work their way up because that's the way it is in the REAL world.

  11. Jarin Schlievert

    there is a silver lining in this process. its not all puppies and kittens, its a good idea but since when has a politician offered something for the people….let alone in my age group 18-25.

  12. Amy Roper

    Most jobs require an education! When you finish college know one will hire you to pay back your outstanding student loan. When everything is deducted from your pay check and you pay $4.00 a gallon for gas along with $500-$800 for housing you are just about working for free. I purchased a text book used on Amazon that still cost $200.00 brand new that was $280.00 in the bookstore.

  13. Bridgette Latham

    Yes, loans should be repaid but some relief to these young people during these tough economic times should be welcomed. It makes more sense to provide them a little relief in the form of reduced rates than to have them default on the loans entirely.

  14. Amy Roper

    I have friends that have been making payments every month to student loans since they graduated twenty years ago.

  15. Pat Fitzgerald Lindroth

    I thin the Government is doing enough to drag down the economy…why penalize an entire younger generation for their incompetency? Education should be available to everyone, not just those who can pay!

  16. Deborah Mitchell

    Don't get too excited I have become disabked and won mu social security disability suit, but the student loan company has rejected my clain twice saying the phycians handwriting is illegible. I am now going to type everything out and see if the Dr. will sign and add his ID no.

  17. Deborah Mitchell

    Don't get too excited I have become disabled and won my social security disability suit, but the student loan company has rejected my claim twice saying the phycians handwriting is illegible. I am now going to type everything out and see if the Dr. will sign and add his ID no.

  18. Farid Jalilvand

    Why the hell did you take the loans out in the first place, uf you knew with your income you cannot afford an additional $850. Ignorance? I was thinking of voting democrat, but this is a bunch of BULL, republican all the way. Linda you're a communist, go to another country.

  19. Natalie White

    Farid Jalilvand Because sometimes a child is not allowed to sign up unless the parents do. I had to have a co-signer when I first started college because I had ZERO credit and was still living at home. It was either that or I had to fork over some of my own money to be able to go… Take your ignorant comments and stick them somewhere else.

  20. Amanda Beaudoin

    @ Farid, you need to EAT SHIT my kind sir. My mother wanted me to have an education and to far exceed anything she had ever done, which in this day and age cannot be accomplished without a degree. I did not have a rich daddy who could pay for my education, in fact he is not present in my life at all. And THANKS TO MY MOTHER for helping me attain that education I am not making more $ than her and probably you. I also I am intelligent enough to know that anyone as IGNORANT as you is not worth another breathe wasted. FIND A BLOG IF YOUR JACK ASS NEEDS TO BITCH.

  21. Natalie White

    @ Linda – My parents had no choice, I'm glad you made the choice to help your child out to be able to go to school. Have you tried refinancing them yet? My first loans with my parents were private loans. After a year of good payments, I was able to refinance them into just my name so my parents didn't have to deal with it… or try signing up for a deferment or an income based repayment option too. I've used both of those.

  22. Natalie White

    @ Linda – My parents had no choice, I'm glad you made the choice to help your child out to be able to go to school. Have you tried refinancing them yet? My first loans with my parents were private loans. After a year of good payments, I was able to refinance them into just my name so my parents didn't have to deal with it… or try signing up for a deferment or an income based repayment option too. I've used both of those.

  23. Wendy Hutchison

    Carolyn SM really, well if you say it's ok, that doesn't mean that I agree with that either, though it appears you want to put words in my mouth. You make a debt, you pay it…. it's called responsibility.

  24. Ken Morton

    @Farid – I hope that you are just ignorant and not completely stupid. When today's collage grads were taking out their loans, they were under the impression that there would be good paying jobs waiting for them when they graduated. It was your republican friends that promoted off-shoring all of those, leaving only low paying jobs for kids with no experience and creating the problem that we have now.

  25. Frances Goodwin Joyce

    There is no easy answer or quick fix. I would like to see every child who goes to College receive a tuition credit to help defray the cost of education. It should be equal no matter where they attend. It should become a debt if they drop out, except in the case of illness or serious injury. It is your choice to go to a Community College for the first two years to save money or to go to a state school, private university or an Ivy League school the whole time. There has to be a limit on what the government pays for or every institute of higher learning will charge the max. I believe in higher education; it's difficult to succeed without it today. I'm not in favor of forgiving every penny of student loan debt, but I would like to see the interest rate capped to help keep that debt manageable. It would be helpful if corporations who want college grads offered some sort of hiring bonus that went directly to offset student loans. If you didn't take a loan the money would be yours. These bonuses could be tax deductible for the corporations. If we are going to give tax incentives to them anyway, they might as well help the government recoup student loans and help Americans get out of the trillion dollar hole we are in.

  26. Frances Goodwin Joyce

    Forgot to add that we need to make sure that students are getting what they pay for. I know some Community colleges and Universities know how to stretch dollars and still provide quality education. We should not accept less from others no matter how impressive their reputations.

  27. Daniel Jason Prall

    Are you kidding me? You want a bailout because you think you are entitled to add expenses to your lifestyle with no buffer room with your earned money? I am the responsible one who will be paying for this and again will gain no reward for being responsible. I don't own a home, don't have a degree yet. Your Daughter has no business being in school yet if you can't afford it! Period.

  28. Beini Qu

    It is very narrowminded for all you older folks to say "I paid my loans back, they should too." Guess what? Things are very different now. Why should students be punished with this mess that the government and corporations have made? I recently tried to hire a new college grad for an entry level accounting position and in the 2 days the job posting was up almost 1,000 people applied…some of them had been CFO's in the past! Tell me…were things that desperate when you graduated that allowed you the ability to pay back all your loans?

  29. Beini Qu

    We already pay a lot of taxes for social welfare programs and prisoners…many of those problems would be solved if some of those people had easier access to education…it has always been statisticly true that well educated people end up being a lot more productive for their country, so isn't it possible that it could actually lower our taxes were education to be more accessible to everyone?

  30. Ashley Marie Keenum

    As a former college student w loan debt frm a private college- this would be tremendous. Im not looking to be bailed out of my bills, but i don't want to live with this debt for the rest of my life as a first generation college student – I knew student loans were the only way I could go to college. Theu want us to be stuck to suck more $ out of us. I sent in actual weekly paystubs proving my hardships as they require for defferment & they still marked me deliquent. me deliquent. col. college.

  31. Latoya Wilson

    For the rest of us, we are not saying that we don't want to pay back anything, we are just asking for a little help! And with this type of economy, it's hard for some of us to pay back 40k plus loans. Know the situation before you judge.

  32. Latoya Wilson

    I agree that college students don't receive effective advisement. The problem with the, starting at the bottom theory, is that this type of economy doesn't make it possible. Advisors and professors should advise students to network, start internships early or try to create businesses, and get degrees in strong high growth industries.

  33. Annette M. Rotellini

    I have tried several times to have a portion of my debt forgiven, due to the fact that I teach at TITLE 1 schools and also teach special education. However, my loans don't meet the standard by ONE year. Now my question is this. I owe more than I make as a teacher. Wouldn't it be better if half of my loans were forgiven and allowed me to pay the rest instead of being in a position of being unable to pay for them at all?

  34. Ja-Jason Jwet Westerfield

    If we really want to change the education system lets start by prohibiting the almost religious view of "college is how you succeed in life" that is preached in public school systems. Everyday kids are fed nonsense that if your going to be successful in life you need to go to college right out of high school. In addition, colleges pay sales agents "recruiters" to travel around to every school to sign them up. No money? No credit? No worries, the government will give you loans.

    Sounds sort of like what happened with the housing market boom in 90's eh? We all know how that worked out. Except, you can file for bankruptcy and have your debt forgiven when you can't pay for a house. Student loan debt is with you till death. It's time we start telling the truth to impressionable youth, that there is nothing wrong with working at McDonalds, and that if you don't go to college you can still be a functioning part of society.

    Despite my large sum of loans I do not wish for forgiveness, I personally think that is unfair to everyone else who has paid their debt. I do however, have a problem with 6.8 interest rate on a loan from the government. Paying the government such absurdly high interest on my money they loan me is insane. Especially considering the national debt per person is well over 400k. I have 3 other loans from different privately owned companies and the interest rates are all 3% lower.

  35. Alice Slifer McCann Lantz

    Latoya Wilson , one of my children has a Bachelors and Masters in accounting and a Masters in International Industrial Relations. There are a ton of accountants out there now and competition in this economy is pretty stiff. What is high growth at the beginning of college, isn't always high growth at the end of college.

  36. Leanne Salls

    If we continue to rip off our citizens that choose to further their education, less people will seek that education. China is already going to own us. We're just going to speed that process up if we keep people from education.

  37. Wendy Hutchison

    Latoya Wilson I've been in this situation dear, therefore, I have the right to my opinion on it. I worked while going to school with a full load, I drove a p.o.s. car, I worked my butt of in the summer in… and worked my butt off in low paying jobs, and paid off my loans… on my own. YES it takes a while, YES it's hard work.

  38. Karen Hogya

    I have always believed that if you handed those school budgets to a single mom, she would know exactly how to cut the fat and not compromise on any that was important or necessary.

  39. Alice Slifer McCann Lantz

    Excellent post, Jason! I laugh at the "you have to have a degree…" Only one of my 5 kids didn't go to college and guess what? He makes more than the rest of them. Determination and hard work pay-off quite nicely and he has no student loans.

  40. Kathie Kesler Corbett

    Okay, it seems that most of these posts are aimed at "younger" students, but I am not in that category and my education didn't pan out the way it was supposed to. So I am looking at student loan debt that I will not be able to repay. My loans (private) are already in default. I need a car but can't get one. I TRIED really hard to work out a repayment option that would be affordable to me but SALLIMAE isn't interested in helping you when things are tough. The interest rate is totally unreal. My phone rings here at home and at work. It's embarrassing and depressing to be in this situation. They will take me to court and they will attach my wages from now until the day I die—that's when you are no longer obligated to repay your remaining debt. So to all of you who were and are able to repay your debt, I applaud you. But don't you dare judge me because it's a hardship on me and my family. I pray every night that Rep Clarke can get this bill passed. And when obama announced on TV that he & Michelle paid off their loans, get real—we paid them with our taxes.

  41. Natalie White

    Daniel Jason Prall My parents couldn't help me with my second round of student loans because they filed bankruptcy, AND we lost our home a year before I went back… it was either pay for my mother's hospitalization and lose the house, or pay for the house and not get my mother the help she needed. And with only one income, guess what my father chose? If they had any hopes of being able to get a place, the financial person they went to see, told them point blank they could not be a co-signer on my loans. I was 25 went I went back for a second time for my degree. Do you have any idea how horrible they felt because they could not help me the second time around?
    So how is it irresponsible for a parent to help their child get ahead in life? Even if it costs the parents alot, most would do almost anything (including kill) for their children. If my parents could have gotten away with signing on for a second round they would have, but then they wouldn't have the home they have now. And P.S. my mom is now disabled from her illness and my dad works two jobs to support them. Even living in TN where everything is cheaper.

  42. Wendy Hutchison

    I agree, educated people are more productive.. I'd like to see higher education expectations from parents, and for the public schools to provide a better education for children at the beginning of their educational careers, not at the end of it. I want to see more language, writing, science and math, arts and music over all the emphasis put on sports. I honestly rather see all the money put toward bettering education than sports

  43. Natalie White

    Wendy Hutchison You chose to buy a home with a large mortgage, you could be renting, or you coulda bought a cheaper place. If a student wants to go to school, they have no choice but to pay what the colleges want.

  44. Kathie Kesler Corbett

    To Wendy–I am really happy for you, truly I am. I am glad that you are able to repay all of your loans with no problems, but I live in the real world where I have experienced much financial hardship and not by choice. Your comment about living in a socialistic country??? are you kidding me?? That's where we are heading and I guess you are okay with that.

  45. Carolyn SM

    Wendy Hutchison i didnt ask you to agree, i stated my opinion. agree or not, your choice. i also didnt attempt to put words in your mouth, again, just stating my opinion. i completely understand the meaning of the word 'responsibility', i would like it tho if the rules applied to everyone including the foreign countries that owe us billions, including the rich that make millions a year, including the banks that have their debts wiped clean using the money I PAY in taxes, including…including…including…. all those lucky enough to have our government use OUR money to bail them out. could you maybe explain the meaning of 'responsibility' to THEM?? seems they need it more then i do.

  46. Wendy Hutchison

    Natalie White Not all colleges are priced the same… community colleges are way cheaper than private or large scales schools. There are plenty of different choices. When I got my Mortgage, I didn't have any choice in the going interest rates, or how much material cost to build my home… I had to choose the size of my home based on my income, the mortgage rates, taxes I'd have to pay and cost of material to build it. I never said I had a large mortgage either… my point is, it's my loan, I agreed to it and accepted the terms to the loan up front. It is my responsibility to pay it off, it's not your responsibility to pay my obligations.

  47. Farid Jalilvand

    Natalie White If you cannot afford it don't buy it. Obviously you couldn't afford college, but you did anyway and now using my tax money to pay it back. Cool.

  48. Wendy Hutchison

    @ Kathie, I don't know what world you think I live in. It's the same as yours. Since it fair to say we don't know each other, I'll not sit here and say my hard ships are harder or easier than yours, cause I don't know.. but you don't know mine either so, don't judge me. Why don't people actually read posts… I told the other person if they wanted to live in a socialist country with free hand outs, to move out of this one!!! I am a patriot!
    @ Carolyn, You're certainly entitled to your opinion, that's the beauty of our country isn't it! I am NOT for bailing out companies here or abroad, I am esp not for paying off other countries or having our pos president bowing to other leaders either. I agree, they (assuming you mean our own government) are spending our money irresponsibly. That said, you really want them managing our children's higher education too? I do not.

  49. Anonymous

    Hey Anita,
    How did you get it paid off? They do the same things to me. I pay 100-200 bucks per week and I see over half of mine go to interest. Any secrets you can share ?

  50. Wendy Hutchison

    Punished… how do you think this happens? Our country is the way it is now because people sat back with their hands out and voted to allow it.

  51. Anonymous

    My car is 10 years old and I rent an apartment. I have to budget my income and I am not asking for help. Puhlease— I bet you didn't have a problem cashing that loan check once it came to you!

  52. Wendy Hutchison

    I think it took about 10 yrs… I cut it shorter, by 5 yrs I think, by getting a personal loan at a lower interest rate to pay off the last bit. It was about 400$ a month… and I was only making between $5 -10 an hour in my job. I can't remember all the details.. but I remember going without a lot of things until I paid off my loans.

  53. Beini Qu

    You are right Julie…people should take responsibility for their own actions. But the reason students can't pay back their loans is bc of this economic mess that the government and corporations have created. It is not the students fault that there are not enough jobs for them to have the money to pay it back…so I would say you are blaming the wrong people and just bc you were able to pay your loans back is not a valid argument because it was really easy to get a job before but this is simply not the case anymore.

  54. Wendy Hutchison

    I find it laughable that I got the degree, but I'm not working with it or because of it… I'm making more money buy not using it. I also agree about the interest rates… I think there should be maybe a 1% rate to cover management of the loans and that's it.

  55. Carolyn SM

    Farid Jalilvand because like most parents we want the best for our children and will usually sacrifice our own needs and wants to be able to give that to them. makes perfect sense to me.

  56. Carolyn SM

    Daniel Jason Prall it sounds to me like she's paying it BUT it isnt leaving her much for for life necessities. i think most good parents want to do whatever they can to give their children a good strong beginning on their independent life. it not only helps that child, but society as well. this well educated child will go on to pay taxes, will not be a burden on society, will have the money to buy a home, raise their own children, pay their bills.. they arent asking for a free ride, they are asking to be given the ability to contribute to the economy and do their part.. to me it seems pretty simplistic but i guess not everyone is understanding how much good this will do for the economy and society as a whole.

  57. Carolyn SM

    a_suthrnbelle07 i'm not sure if this would apply but its an idea you can look into. if it works the same way as a mortgage payment you can pay the actual payment AND add an additional principal amount. it can shave off YEARS of payments and interest.

  58. Latoya Wilson

    @ Wendy, congrats, however, not everyone is that fortunate. Especially when there are many college graduates, that are struggling to find ANY jobs. I'm not asking for any handout, just a little help.

  59. Latoya Wilson

    Our country is the way it is because of the 8 years of crap and this country should have prepared for this economic transition 30 years ago.

  60. Anonymous

    Carolyn SM well that's interesting. I have never had a mortgage (not yet—ugh—I dread it!)…. so I'm not 100% familiar with the additional payment strategy. I'd much rather pay more principal than interest, but like ANita said earlier, they are spreading it out over a few loans…..their game to kill you paying it off. I'm looking to pay 10K per year…. so any suggestions you have on adding a new principal (or any other suggestions) would be appreciated. I'm all ears…well, eyes in our case. :) (and thanks for that first suggestion!)

  61. Wendy Hutchison

    @ Kathie…. I live in the same world… no I don't know your hardships, and you don't know what mine were/are either do you? No I'm not OK with the direction our country is going… don't you think it would be mighty socialist to "forgive" the loans or to provide for free higher education on the backs of those who are working?

    @ Carolyn… I wasn't agreeing with you. I disagree with the bail outs and the hand outs both here and to other countries. I rather see value restored in our dollar. I rather see our government more accountable to it's people. I rather not see our government moving into a socialist direction. In my opinion, bailing out loans is a socialist thing to do. Where does everyone think the money is coming from… look at our countries debt load, look at our current work force.. we need jobs, we need manufacturing to return to the US… every bail out digs our debt hole deeper.

  62. Beini Qu

    Voting is for suckers. If voting actually made a difference, it would be illegal. Government and big businesses have a way of doing what they need to do to be profitable whether we vote against them or not

  63. Paul Betzler

    College can be extremely expensive for students if they do not receive a scholarship. However, students know what they are getting themselves into when they go to college. Their loans should not be forgiven, since they are aware of their financial situation when entering college. If they do not think they can manage paying their loans off after graduation, why go to school?

  64. Carolyn SM

    Wendy Hutchison when choosing a college you have to look at which colleges offer the best education for the career you looking to go into that DOES NOT always mean choosing a community college or cheaper college. the college you choose to go to can also directly affect your future career as well.
    as for your mortgage, you could have bought a home already built, something in a cheaper area, something smaller/cheaper, you could have bought a mult dwelling home so there was an income to help pay the mortgage, you could have waited till you had more money saved for a larger down payment hence bringing down the amount borrowed.. there are many many options that are available when buying a home. it really doesnt relate to getting a college education.. but, i would bet that if you, like millions of americans, were in danger of losing your home to forclosure and you were offered the help that out there to save it. you would JUMP on it. our taxes pay for a shitload of things that (it could be said) arent directly our responsibility.. when do we stop thinking of ourselves and start looking out for each other in this country? that kid that is going to graduate in 5 yrs might be the one that finds the cure for cancer. with your thinking since he cant afford to keep up with the rising costs of his debt he should just drop out instead and flip some burgers..

  65. Beini Qu

    All the people that took out sub-prime mortgages were uneducated and didn't know any better. If this country was better educated, we wouldn't have been in this mess in the first place.

  66. Wendy Hutchison

    Latoya Wilson I understand.. the job situation is bad… so push for jobs, not a loan pay off. These things don't help the economy or job futures, but JOBS will! I wish you success and luck, Latoya!

  67. Carolyn SM

    Wendy Hutchison yeah, and most of the ones that got that hand filled were in foreign countries, NOT here at home.

  68. Carolyn SM

    Ja-Jason, i think your post is great except for one part. NO ONE can live on what you make flipping burgers hon. whats really sad is that a job flipping burgers is what HS kids used to get to save money FOR college. now they cant even get that because the kids coming out of college are taking those jobs because there is nothing else out there for them in the fields they just learned in college..

  69. Wendy Hutchison

    Beini Qu, A person wouldn't need anymore than a high school level education to figure out the sub primes were a bad idea, that and a little common sense. Unfortunately, our countries education expectations for K-12 is sorely lacking. I say we should start fixing it at this level first… or there won't be enough kids smart enough for college level anyway.

  70. Iman Oldgeek

    If you have paid back 75% of your principal, I think the rest should be completely forgiven without prejudice–with two limits: a) public schools only for undergraduate studies; and b) American citizens only. By the time you reach the 75% mark the lenders have likely doubled their money. Oh, and public colleges and universities need to rein in their tuition…really, 2010 annual undergrad costs at a local public university were estimated at $23,000 per year, two years ago. That's $92,000 you start out life in debt. At ten years repayment that is $1,058 per month, or a rent and car payment. Ridiculous.

  71. Amanda Beaudoin

    To the 2 IGNORANT MEN commenting on my MOTHERS FB page like small children please know that I PAY OVER $500 to TAXES JUST LIKE YOU EVRY MONTH. I understand that there are people in this country in even more unfortuante situations than myself and AM NOT ANGRY THAT MY TAXES go to assist mothers in feeding their children. IF YOU WANT TO TALK ABOUT BAILOUTS GO TALK TO YOUR GOVERNMENT ABOUT THE DEBT THEY GOT everyone on of us in BY SPENDING ON THINGS THEY COULD NOT AFFORD. GOD HELP YOU PEOPLE!

  72. Iman Oldgeek

    Farid Jalilvand sometimes situations change; I know someone laid off from General Motors who went from $26 per hour to under $10. Student loans were a huge burden then. Not everyone who has difficulty with loan repayment is lazy or a communist. And not everyone who borrows money was ill-advised to do so if they had the income to repay it comfortably at the time. Not all of us live in a rosy-glow world where nothing ever changes.

  73. Anonymous

    This is a horror story, let me tell you the real truth about student loans, I know a friend who borrowed $2500.00 they paid on the loan for years, but she lost her job in a large corporation that down sized, now with late fees, high interest feels, collection fees, and other fees, she now owes $16,500.00 now I ask you what part of that is fair, and if this is like so many others out there, how much money do they really owe?

    Is it really one trillion dollars as the author states or is that an over inflated inaccurate figure that someone just pulled out of the air, seems to me the problem is that we have yet another situation where collection agencies and loan companies are profiting on the backs of your children.

    So, if your thinking about borrowing money to go to college you might want to think again and if more people do not go to college, then what happens to our future…

    I think that we are in really deep trouble, as a nation…

  74. Beini Qu

    Wendy I agree with you 100%. That would be the place to start but higher education is still crucial as most higher level jobs require at least a bachelor's degree. Currently we are outsourcing jobs such as engineering jobs partially because we don't have enough engineers domestically.

  75. Leanne Salls

    Farid Jalilvand: You'd rather that money went to bail out the big banks and auto makers instead of the people those banks and auto companies are built upon? Are you one of those people that think that corporations are people too?

  76. Shelly Stempnik

    Farid and Daniel-did you guys actually read the article or just start flapping your jaws based and your own dumb ass assumptions? Just curious…

  77. John Poland

    So the Government took over student loans.. So we the Taxpayers are on the hook for the loans if they are not paid. So how does Forgiving loan help us? I can see giving todays better rates and longer payment plans.to student borrowers.The Government Forgiving them is rewarding Bad behavior, teaching a wrong message..because if you default on a loan your credit score Should be lowered because you are a bigger rish than responsable people who Do pay off loans..And gives the attitude..of the Gimme Society! Remember..Nothing is Free.Everytime the Government Gives YOU something..It is Taking the money to pay for it from Someone else somewhere!

  78. Robert Linscott

    You are definitely an idiot. You chose the loan, you are RESPONSIBLE for that loan. It's called a real word, responsibility!!!!!! Oh yeah, what else follows? ACCOUNTABILITY!!!!!!!!

  79. Shavahn Whetstone

    Wendy Hutchison: I'd just like to know that if loan forgiveness was an option for you when you were still paying your loans back would you have taken it? or would you have said "No I borrowed the money I'm going to pay all of it back?"
    Just curious.

  80. Robert Linscott

    Ruffly? You got ripped off, it is written as "ROUGHLY.". Now maybe YOU should be exempt, as you apparently had no education!! And you work for the D.O.D.? Damn, we are in big trouble with illiterates trying to control us!!! By the way, the bank that I went to had NO student loan programs, so I took out a personal loan to pay for my education and I PAID IT BACK!!! TRY IT, IT"S CALLED RESPONSIBILITY AND ACCOUNTABILITY!!! OWS pleeeeeeze come knock on my door and I will show you the truth and the deception that you live, thinking it is the truth. You are just a bunch of lazy ass, didn't get my way asses!!!!

  81. Saoirse O'Neill

    Nobody forced anyone to take out loans they couldn't afford. Period. You signed the papers, you make good. Some of us, rather than take out 'crushing' loans, got our education course-by-course, as we could afford it. It took many years of hard work and perseverence, and there were no spring breaks. If you don't pay, you're nothing but an overeducated deadbeat.

  82. Natalie White

    Farid Jalilvand When I got my first job, I was in 11th grade (2001). I made $14/hr and worked 50-55 hours a week. I went to school and got an associates degree in business admin/law. I worked for that company for 6 years, then got laid off in 2008. Sure, I gladly paid my student loans while I was making the "good money" but, now what? I lost my job… so I deferred my loans until I got my second job (thank goodness for still living at home..didn't have to afford rent.)
    So, end of 2008 until now, I have a job making $10/hr and I cannot work more than 40 hours a week. I'm being told that if I want to get into law/secuirty like I want, I have to go back to school..joy.. so that's what I did. So, I now have to afford a 1 bedrm ina home in the DC/VA area, with roommates, making $10, and going back to school to get a better job. I have maybe a year left and I, at this point, have 50k in student loans so far, with one year to go.
    I'm sorry but, I don't want to be stuck working at a dead in job my whole life, or at Wendy's (no offense for FF working people) so I have no choice but to go to school. Which I got to UMUC Online so I can continue to work full time. I take 2-3 classes at a time, so I have no life.

  83. Curtis StClair

    Farid Jalilvand for one you do what you can for your kids no matter the cost…she can make the payments…but has nothing left for her own luxury or comfort…..you're a communist and I hope you don't have kids or ever do

  84. Robert Linscott

    One word, "WHY?" They made a commitment and are responsible for that commitment, just like the fannie mae/freddie mac fiasco! Someone needs to cough up some money, and it shouldnt be me for someones else degress!!!!,

  85. Bridgette Latham

    Wendy..At no point did I say or imply that the loan is not the student's responsibility. I totally believe that it is their responsibility but if they have no means or limited means for repayment, then Sallie Mae will not get anything. Let's face it..we are talking about an unsecured loan. Some of these students may have taken the least expensive road to education yet still have debt. As for your mortgage, you are not obligated to pay that loan to term. If you can secure a loan at a lesser rate, then you can have the right to do so.

  86. Robert Linscott

    Latoya Wilson, before I judge? what is it exactly that made you take out an overly expensive "College Loan?" Different college, different payments! Just remember, that as they tow your car away ,oblowhole will not cover you there!!! Talk aboub FALSE HOPE. EARN THE TRUE LIFE!!!

  87. Robert Linscott

    Latoya Wilson , And you are a flat out fool as oblowhole pushes our debt past our income!! Try living that way in your life. He's an idiot!! Oh yeah, that is only in 3 yrs. Wake the eff up and quit your blind allegience to the worst president/ full time campaigner of all! The idiot is just that!! A liar and an idiot. his admin expedited the permits for the southern leg of the keystone pipeline? He had NO authority or oversight with this section as it is on "PRIVATE LAND." How will he get out of this LIE?" Just one more of many thast idiots won't recognize or attribute to the source, OBLOWHOLE THE IMPOSTER!!!!!

  88. Brian Faunce

    This is bullS**T. If you want an education and take out student loans, then you should have the decency to pay them back. If you take out tens of thousands of dollars to get a worthless degree like political science, philosophy, communications, etc. do not complain that you can't get a job or that the job you do have doesn't pay enough to pay them back. I graduated with over $40K in student loans and I will have them paid off in less than 3 years because guess what? I got a worthwhile degree in engineering. I do not feel bad for people who can't pay their student loans-you guys are no worse than those people who obliviously bought a house well out of their income range and then simply default on the loan and stick the rest of the responsible Americans with the bill. No more bailouts for irresponsible people!

  89. Saje Williams

    Farid Jalilvand Gawd forbid we actually HELP anyone, right? Vote for the psychopaths… it clearly suits you fine to do so.

  90. Robert Linscott

    Latoya Wilson I've been there already, so don't ask stupid questions for support. Work for your education as the rest of us did. By the way, obama's student loan relief just gave you ONLY $10.00 in your pocket. per month!! That's his relief!!! If you are a college student and you ACTUALLY THINK that he helped you? You need to go back to school to learn more than a third grader!! What a POS campaigner!!! And what a crappy education you got!!!! Try investigating the truth before you speak.

  91. Saje Williams

    Robert Linscott And when Jefferson started the University of Virginia, it was with the intent of it remaining FREE to citizens to improve their lot in life. When did our children become another cash crop for the bankers to exploit?

  92. Saje Williams

    Wendy Hutchison No. Our country is the way it is because selfish and narcissistic psychopaths are running our economy.

  93. Saje Williams

    Wendy Hutchison And oddly enough they were pushed by people with MBA degrees who told the buyers "Oh, this should be NO problem." People go to bankers because they (mistakenly) believed they could trust them. And it turned out they were no better than your average bunco artist… with greatly inflated incomes.

  94. Robert Linscott

    Back then,we actually had a president that was PRO American and wasn't kssing every countries ass! He made decisions that helped America, not this idiot who has NOW IN 3 YRS. PUSHED THE NATIONAL DEBT PAST OUR COUNTRIES OUTPUT!! Way to go, oblowhole and simplisistic idiots of today!! Oh yeah, you talk about 8 yurs, I prove myself in a measly 3 yrs.!!!!!

  95. Jeremy Johnson

    Anita, you need to consolidate your loans into 1 loan. Then you can make your regular monthly payment. THEN specify the amount you want to go to principal.

  96. Saje Williams

    Robert Linscott So you're saying that only the rich should get a higher education? That the rest of us should be cannon fodder and street sweepers? That the fact that greedy bankers crashed the economy and are sitting on piles of money while the average citizen scrounges to pay their bills shouldn't bother us? You psychopath worshipers really baffle me.

  97. Julie Gross- Cook

    In response to Beini, when I graduated from college, I took on 3 low paying jobs to pay for my loans even tho none of the jobs were in my graduated field. I knew that the loans were my responsibility regardless of the economy even back then. I was willing to take any job at any wage because the loans were my responsibility. Why charge any admission for college? Or anything for that matter?

  98. Saje Williams

    Robert Linscott You weren't where these kids are today. When YOU got out of college, you weren't fighting for jobs against people with ten years of experience on you. And don't pretend you were.

  99. Saje Williams

    So, Julie, you left college fighting for entry level jobs against people who had ten years experience on you? No? Then try to dial up your empathy and consider what it's like for the kids today. That's if you actually HAVE the capacity for empathy unlike most of the sociopaths and psychopaths chanting "I've got mine, screw you."

  100. Robert Linscott

    Saje Williams go back to some ows protest that is so misgiven. You all should be downing oblowhole as he has recieved the most monetary donations from wall st. than any other president! Look it up for yourself and get off of what makes America work, and get on the case of who makes it stall! OBAMA and his socialism!!

  101. Ricky Bee

    I can't believe people are for free education. Why are we stuck in this entitlement mindset? You chose to go in debt! Why should we be bailed out by our tax payers? If education is free then it's quality will go down, no competition in higher education, no one would want to be a college professor because there would be no incentive to be one, along with more gov't hands creating more red tape, and depleting resources to help cover the majority. Between my wife and I we are $100,000 in student loan debt and we feel the pain, but that's life we are now "paying" for our choice. this bill sounds great, but I will not be a part of this and expect other American tax payers to help pay my debt back. NOTHING IS FOR FREE it may say so on paper, but the money must come from somewhere….I.E. Taxes. The constitution gives us the opportunity for growth and happiness, not a guarentee of it! Now that's freedom….Accountability and responsibilty for our own choices and actions. This is the next bubble to break, the housing market burst, and student loan debt is next.

  102. Saje Williams

    Actually the point is they DO think they'll be able to afford to pay off the loans when they get out of school. Except greedy bastards crashed the world economy and are currently sitting on piles of money while the rest of us struggle to make ends meet. When you get out of school and you find yourself competing with people with ten years experience for the same entry level positions you soon realize that circumstances have screwed you.

  103. Saje Williams

    Annette… problem is that none of these people CARE about your situation. They're not IN your situation, so they can dismiss it out of hand with nary a second thought. You "brought it on yourself." There is an empathy deficit in this country that is by far more dangerous to us than than the national debt.

  104. Deep Patel

    Farid Jalilvand you dumbass you could afford the $850 when you had the job that paid for it, now after you have such high unemployment and having no breathing room and are living pay check to paycheck it's not as affordable. Ignorant ass piece of shit

  105. Saje Williams

    Public universities were MEANT to be free. You can thank Runny Raygun's expression "It's not the government's job to subsidize intellectual curiosity" (as if he ever experienced a moment of intellectual curiosity himself) statement that began to sound the deathknell for free public university education. As things stand now it makes a profit for the bankers… and, really, what's more important than that?

  106. Robert Linscott

    a_suthrnbelle07 You make a monthly payment just above the minimum, then you will win eventualy. Try making just your first payment okay? I ain't givin you shit!!! That is my American view, and as a veteran, work it off fool!!! It takes work on your part! Try it, please as you will learn another lesson in life.It will come to you. I will not expound upon it! But it will come to you and you will have a revelation!!

  107. Kacey Gaddis

    Wendy Hutchison true u didnt have choice but u cant get a bachelor degree at a community college and a job that pays decent amount of money requires a bachelor degree…js

  108. Robert Linscott

    Natalie White WRONG, They have another choice!! Another school!!!! Get real. I bought the big house, oh yeah, Oblowholes m,ortage relief, I went to a school that I knew that I couldn't afford!! again oblowhole puts it on the taxpayer! I',m not paying for you as I already paid for my own education!! that is SOOOOOOOOOOO great. Vote for this ass again please as hereaks the back of America!!!!!
    If you were so smart, you would also notice in financin g, oblowhole actually saves you $10.00/month.

  109. Dawn Stepanek- Morrison

    a_suthrnbelle07 The best way to pay off any loan is through additional principle payments. For example if you had a 30 year mortgage and made one extra payment applied to the princple every year, 13 payments instead of 12, you would shave off approx. 7 years. If your payment coupons do not provide a way to make additional principle payments you need to contact your loan servicer and find out exactly how they will accept additional payment on principle. They have to do it but they don't have to tell you how unless you ask. Be sure to monitor where your money is going at all times and compare your monthly records to the monthly and year end statments you recieve. If you consistently apply extra money to the princple every month it will make a impact. You should not try to do more than you can afford. This stratgey takes considerable personal disipline. You should also think about saving up a emergency nest egg. Consider this, if you set aside fifty bucks a week, you would have thirteen thousand dollars in 5 years. I know it is very tough out there, I wish you luck. What our goverment needs to address and what no one seems to ask is why the cost of education is so high in the first place? A trillion dollars? Where is all that money going? I would be one pissed off student if I were still in in school.

  110. Steve McKenzie

    If parents wouldn't pay for their children's college education, we wouldn't have this problem. Grown teens can either choose to work it out themselves (like I have by slowly saving cash and paying as I go) or simply choose a trade and start from the bottom.

  111. Robert Linscott

    What's different? You put your signature on a promisary note!! Nothing is different except you all think that you are exempt from paying!! WRONG!!!!!!!!!!!!!!!!!!!!!!

  112. Tamera Poulsen Anglin

    Farid Jalilvand – MAYBE when the loans were co-signed for (possibly 4 YEARS AGO at least), she had the income BUT during the economic meltdown, she lost her job/ her daughter could not find a job after graduation/ divorce/ any number of issues that were unforeseeable happened. Hm…

  113. Theresa Brown

    This is bull…I paid my student loans back at alomsot 10%. Its part of life. People need to stop living above what they can afford. I drive a P.O.S. car and live in a dump at 7.9% interest on my morgage, I pay property taxes, homeowners insurance, oil bills and a ton of other bills, but my bills are paid because I don't live above my means. I didn't have 2 pennies to rub together when I was paying my student loans. No one gave me a "forgiveness" on my student loan. So why should you get forgiveness? You cant pay your student loan but I bet you pay that car loan instead of driving a piece of crap….Hmmmm….This generation of people just refuse to work harder to make ends meet.

  114. Tamera Poulsen Anglin

    And when was that? Was rent out of control like now? Were food prices doubled? Did you have children? There are many things that effect people. Statistics show that it would take 2 wage earners, working minimum wage jobs, to afford rent, food, a vehicle (paid off, but insurance, maintenance, gas), and the light bill etc. That was not the case even 5 years ago. Some employers are looking for Master's degrees for jobs that pay $12/ hr. Why? Because they can. Because our labor, which we "sell" to employers, is worth LESS. Our "dollars" in sweat is not worth what it was just a few years ago. It is not lack of responsibility, people are drowning in bills that do not change but our dollar is so weak it buys half what it did.

  115. Troy Hendrickson

    as long as they make all holders of student loans eligible, it's not like kids just graduating today are the only ones struggling.

  116. Tamera Poulsen Anglin

    Wendy Hutchison They only offer AA degrees, or some select Bachelor/ Master's programs that a larger school offers there WHICH are priced the same as the main school.

  117. Sean M.Ward

    I'd love to get some type of higher learning. But I don't feel like drowning in debt. And I'm not dragging my parents down with it either.

  118. Christina Thompson

    Natalie White It's because Farid Jalilvand works at a financing company. His comments reflect his bias. He could care less about any hardship you or I are enduring. He simply wants his f*cking money back at all costs.

  119. Christina Thompson

    Robert Linscott It's a sad man who can't argue a viewpoint without resorting to petty insults and childish names.

  120. Anonymous

    OH HECK NO! I'm going to start paying off my student loans in a few months (I'm not yet graduated). But I've been planning on paying – that is my responsibility. You find a way. I was dumb, and shouldn't have taken them out, but I live with my mistakes. I'm tired of people getting "bailed" out because of excuses. Our ancestors didn't make excuses; they would be embarrassed. I'm not going to work my butt off to pay off my loan so someone else can whine and complain and not have to pay off theirs. What about all those people who paid theirs off, do they get a "bailout?" Here's some money cause you did the right thing! I'm tired of being part of system that helps those that don't do what is right and leaves those in the ditch who do what is right. PLEASE, SOMEONE SAVE US FROM OURSELVES!

  121. Latoya Wilson

    @ Robert, you are apparently uneducated and do not know me, therefore, I am not going to waist five more minutes with you. I thank the others, that understand what is going on TODAY, while others are apparently in a box. @ Wendy, you must live in another world.

  122. Beini Qu

    I don't think most people are asking not to pay back their debt…they are simply asking for a little bit of flexibility…the bottom line is if there are no jobs then people can't pay their loans back right now…either we give them some flexibility in paying back or we screw up their credit and worsen their chances of achieving financial stability. You can't oversimplify such a complicated situation.

  123. Anonymous

    I attended college 25 years ago and I am certainly an advocate of higher education. I ensured my daughter was an honor student saddled with all AP courses. However, as a mother of a 17 year old, my views have certainly changed. As a result of skyrocketing tuition, I decided to have her intern with a firm that will hire her at age 18. After she is employed, she must work 30 hours per week, and the firm will provide $15K per year in tuition reimbursement. Since one must work when he/she is in college, why not get the best of both worlds; tuition reimbursement and a great paying job. We need to look for more innovative ways to achieve the end result without the massive debt.

  124. Amanda Beaudoin

    @ Troy PLEASE SEE http://www.google.com and read the definition of WELFARE you incompetent fool. My mothe raised me on the money she earned working her ass off 10 hours a day my entire life while my lazy son of a bitch father never contributed a dime except for the government made him pay…braces…activites….medical bills not shopping trips. She taught me debt was the devil, and 10 years ago no one could have forseen the future. READ SOMETHING about what you are speaking of so you dont sound like such an asshole next time. I WOULD START SIMPLE BY THE SOUNDS OF IT, SAY PERHAPS "CURIOUS GEORGE GOES TO COlLEGE"

  125. Lori Lorton Stone

    That is bogus! I paid back my student loans. Whose moronic idea is this to let these people off the hook for the obligations they signed up for? This is nothing more than a gift of public funds period. If I find out that any of my representatives are supporting this I will vote against them.

  126. Tom Hoffman

    They used to be, or nearly. Then the Reagan Revolution happened. We are seeing it's glorious end-game. This is all very good for places like China and India. Not so good for us. Have these countries purchased the Republican party? Sometimes I've got to wonder.

  127. Jen Self

    Robert Linscott I think your the idiot…wait till you have children then you can walk in parents shoes…

  128. Jianan Wang

    What a great message to send: if enough of you're irresponsible, we'll bail you out cuz you're, like the big banks, too big to fail. Where does this bailing out of people with tax payer $$$ stop?
    And what about the people who actually worked hard to pay off their student debt? Perhaps even borrowing money from their parents hard earned life savings? So now they and their parents gets shafted for doing the responsible thing?
    I'm very liberal minded but this is just the wrong message to send about responsability and thinking about the consequences of your actions before doing something.

  129. Mary Purvis

    Just what we need, more people blaming those that only want the same thing we want and ignoring the Fact that CORPORATE WELFARE costs this Nation a hundred times the amount of all our social programs put together… but hey you have fun the next time you stop for gas… and don't think about the billions of tax dollars going to Oil Companies!!

  130. Mary Purvis

    Farid Jalilvand how much soap and water does it take to clean the shit off your head every morning… because you obviously have your head up your ass… and don't think you've fooled anyone into thinking you might have voted anything but Republician… are you a citizen? can you vote? are you currently checking the web to find out how to make bombs? See Farid, calling Linda a communist because you disagree with her make as much sense… Ignorance is calling other people names when your mind is so closed that you're unable to make a sound arguement. If you have children and choose not to help them get an education that's your choice… but neither you nor I have the right to make the choice for others. Parents had no way of knowing the economy would clapse and their children wouldn't be able to find jobs or pay their loans back… so have some respect, you never know when the storms of life will trouble your house… and Karma can be a real bitch.

  131. Sara White

    Mary Purvis I agree with you! Most people who make a huge stink about tax dollars going to welfare or healthcare have not researched where their money is really going!! it's a FRACTION! get educated.

  132. Mary Purvis

    Robert Linscott … wow you don't want to bare the brunt of educating our children… and how do you feel about paying over $4.00 a gallon for gas while congress gives the oil company taxes they collected from you… that might be a better question to ponder while your asking yourself who's the real idiot???

  133. Mary Purvis

    Wendy Hutchison hopefully you don't have any children who will some day need to go to college… by the way did you graduate?? I notice you said you paid off your loans while at a low wage job… doesn't seem fair that a college graduate still can't make a decent buck?

  134. Mary Purvis

    Wendy Hutchison no actually it happened when Clinton signed to deregulated the banks, and of course the fox can't be trusted in the hen house, but even Alan Greenspan went along with it… so when the bank is federally insured they take outlandish risks making so much money for themselves and the fellows on wall street… TOO BIG TO FAIL… does that ring a bell… WE never got a vote a vote on that… not when Clinton started it… not when Bush gave money to the banks… not when Obama gave money to the banks … Bush and Obama had 1 question to answer… were banks federaly insured or not???

  135. Mary Purvis

    I've seen some people be allowed to consoladate their loans so they only have one payment, but be careful who you use, some of them are actually buying and selling student loans and in the end you have your life destroyed by wage garenshement when you can't pay them $800. a month… good luck

  136. Daniel William Gonzales

    Troy Hendrickson you should be put in a crackhouse for a year and try living there.

  137. Ruby Chavez

    The word illegal is inappropriate to use in terms of justifying someone's social status in the United States, please refer to undocumented. The cost of the education system in the United States is yes crazy and needs to be fixed asap. Its crazy to think students will be horribly in debt before they graduate and not have a guaranteed quality education. As for tax money used on education I believe everyone has to right to education in the United States, citizen or not and should be used to educate our nation.

  138. Rod Flasch

    good point Steve oddly, this is why when they grow up they don't know the value of money and can't understand why the are always behind on theit bills. I am becoming a fan of the Goodwill store.

  139. Christine Cortopassi Drumm

    This act is ridiculous. No one forced anyone to take out student loans. You agreed to pay them back, so do it. I put myself through grad school while working fulltime. I paid off every dime of student loans I had. Don't buy the newest iPhone, or an iPad. Try sacrificing to get ahead. A bunch of us did it and you can too. BTW, "free school" isn't free. The tax payers pay for it. Just like it seems the liberals want us to pay for everything else. I'm not having any of it.

  140. Christine Cortopassi Drumm

    To those of you saying who are crying about his rough economy, try living through the Depression or Carter's years as President. I didn't see the Depression, but I sure as heck remember Carter's years. We should get rid of all types of wefare, corporate and social. In IL, Gov. Quinn raised taxes 67% on people, but is cutting tax deals for corporations. He's a DEMOCRAT. Try this. Figure out how much money you have to spend, then spend less than that. People have done it for a long time. AND, if you can't affored college, DON'T GO. Learn a trade, start a business. Just stop WHINING.

  141. Brenda Reed

    Ruby Chavez People who come here illegally or overstay their visas are here ILLEGALLY. They are illegal aliens. "Undocumented" is a term invented to disguise this situation — it means nothing and is used to justify lawbreaking.

  142. Christopher Smith

    Saje Williams , it is not about the bankers. It is about tenured professors and the universities. Who do you think ends up with the money? The banks make a miniscule amount off of each loan.

  143. Christopher Smith

    Did you ever think that it may not be the loans but the cost of the education that is the problem? Why is that not being addressed? Education costs have outpaced inflation for a very long time now. Ask yourself why does it cost so much? Look at your classrooms and multiply what you are paying by the number of students in that classroom. Then ask the question, where is the money going?

  144. Michael Klahn

    Natalie White my daughter graduated in 2010, she owes,wait for it,wait for it……NOTHING,not one dime,how you might ask? she is a smart well disciplined individual who worked very hard and got help from us only as she actually needed it. no spring breaks in Florida no trips she couldn't afford. just plain old American get up and go.oh,and she never cried "unfair" the whole time about the 1% or anything else.

  145. Curtis StClair

    Farid Jalilvand guess what, her dad is working 2 jobs…i think HE is paying for her college with his tax money…look at it that way ignorant a$$….i work 50 hrs a week….have 5 kids in my home…i get loans and grants for school….so guess what I AM PAYING MYSELF to go to school with my own taxes….look at it that way moron

  146. Lindsey Hecht

    I personally think that if we got rid of the federal financial aid program schools would have to lower their prices and make it easier for students to pay as they go instead of paying all at once. The increasing rate of tuition is far higher than the rate of inflation if you really look at it, and schools are expecting most students to be on financial aid so they decide what their price will be and what their policies regarding payment will be keeping in mind most students will not be paying up front. Also, there are some schools out there that will tell their prospective students to not worry about the cost, just sign here and fill out this form and it will all be taken care of. I know someone who went to one of these places, and he knew he would have to pay it all back and he was ok with that. What he didn't know was that a two year degree was going to be 80,000 dollars! Granted, he knws he should have asked more questions about the cost, but he was so excited about the opportunity to go to school (this school primairly markets to those who never thought they would be going to be able to go to college). There are definately issues with some of these schools profiting off of financial aid, because if it didn't exsist, there is no way anyone would pay that much! There are alot of little things that can be done to ease the financial burden on students that do not need to include the governement giving out money. Financial aid is what makes school so expensive in my opinion.

  147. Michael Dixon

    You mean the Republicans like Jeff Immelt of IBM…Oh wait, he's part of Obama's Job Council and he has now moved GE's 115 year old X-Ray business to Beijing. Immelt took over as GE CEO in 2000. At that time there were 30,000 more people employed in the US by GE than in China. Immelt has since turned that number on its head. GE now employs 36,000 more people in China than in the US. So please look at the facts before you make ridiculous claims Ken. Furthermore, if Democrats keep raising taxes on those who actually contribute to the success of the economy in order to give it to those who contribute absolutely nothing then even more companies and jobs will leave. Why should they stay and pay the 2nd highest tax rates in the world just to be demonized, called greedy, and evil.

  148. Gene Kailing

    Sara White Mary & Sarah, YOU should get your facts straight.According to the Environmental Law Institute (environmentalists) web site, from 2002-2008 Bush years an average of $10.3 billion was spent on subsidies to all fossil fuel industries (petro, coal, nat gas, etc). That was about .004 of the federal budget. By comparison, social programs consumed about 55% of the budget – double the percent from 1962. I favor ending ALL business subsidies (including "green energy") within ten years, so I'm not a subsidies advocate.

  149. Michael Dixon

    Natalie White That is 100% untrue. First of all, they could study hard in high school and get a scholarship. Secondly, they can choose another school that isn't as pricey. Third of all, they could start at a community college and get an Assoc Degree. There are MANY, MANY ways to offset college tuition. To say they "have no choice but to pay what the colleges want" is simply false. They could always NOT PAY IT!!! Everyone has a choice.

  150. Alice Slifer McCann Lantz

    Robert Linscott – First of all, I myself don't have any student loans. Second, if the public (free) high schools are going to push higher education and companies only want college educated employees (but pay megar wages to entry level employees) why shouldn't public higher education be free? Tax dollars already go to those institutions. And why are the costs so absurd for higher education? So the administrators can make the big bucks? Why should a college student, majoring in say history or psychology, have to take college algebra class; so they can be well-rounded??? Really? Unecessary classes are just one of the things that drives the costs up. There is no reason a college student should be saddled with debt for 10 or 20 years after graduation just so they can get a decent paying job. How will they ever get ahead especially in this economy where most young, college grads are only finding low-wage jobs because anything that makes a livable wage has gone to the older experienced workers that lost their high paying jobs in the recession? I don't expect them (new college grads with no experience) to start at the top of the ladder or even in the middle, but dang, I don't expect them to live in poverty after they've done what they were told would keep them out of poverty by getting a higher education. We can't turn the economy around if we keep everyone in debt. We need to lower the cost of higher education or give them a break. The only people benefiting from this are the schools and the banks.

  151. Beini Qu

    This is 2012…we are already having to fight with China and India who will very soon surpass the US because they put more emphasis on highly skilled education and US companies are having to hire foreigners bc there's not enough engineers etc. This country is not going to be made better by people learning a trade or starting a business when they don't have a good education.

  152. Beini Qu

    That is exactly my point Julie. You were able to get not, one, not two, but THREE jobs! There are so many college grads not to mention experienced people who can't even get ONE job! When I was unemployed, I applied to every job imaginable even though I had several years of professional experience. So what I am wondering is how you expect people to pay back loans when there are simply NO JOBS? You keep refering to what YOU did without acknowledging that things are very different now.

  153. Beini Qu

    and just to clarify, I do not support completely forgiving student loans but I think that people should be able to defer student loans and pay it back later when they are able to. Because trust me, people are looking for whatever jobs they can find but the bottom line is that there are more people than there are jobs. So if I could ask you to step out of your own shoes and into someone else's for one minute, what would you have done if you graduated from college, couldn't find a job no matter where you looked, and didn't have anyone to help you? Because that is the situation a lot of people are finding themselves in.

  154. Dawn Stepanek- Morrison

    Public grade school and high school are not free. They are paid for with homeowners real estate taxes. Real estate taxes are out of control. I know people paying 7000 a year, and they are just resigned to pay it. People THAT IS 70,000 dollars every ten years, Where is the parents and homeowners relief package?

  155. Alice Slifer McCann Lantz

    Dawn Stepanek- Morrison Go talk to your County Assessor to find out why your property taxes are so high.

  156. Alice Slifer McCann Lantz

    Wendy Hutchison Yup, that's what my kids are doing, low-payng jobs and paying it off. I'm just afraid if one of them loses their job or gets layed-off, sick or injured, they'll be screwed and end up defaulting which will completely screw up their credit for the future. THAT is my biggest concern.

  157. Alice Slifer McCann Lantz

    Dawn Stepanek- Morrison I meant there is no tuition paid to public schools to attend.

  158. Rose Roser

    No, just bailouts for large greedy banks and corporations right? Our government has spent more than the stated amount of total student loan debt on bailing out the very people who caused the economic crisis.

  159. Michelle Mears-Gerst

    Yes but depending on circumstances if you qualify for a BK then yes add the forgiveness you can do the BK but pay back the student loan with a 10% of your income instead still being stuck with whole thing…..going through a BK shows a true hardship….If you are still out buying high end cars and clothes and want to benefit from this act then no that person shouldn't quailfy. Just have it makes sense and have checks and balances.

  160. Duane Peace

    Linda – I hope you and your daughter Amanda will have the relief you deserve. Instead of taking issue with those who had to take debt to get an education, we should look at the university presidents who are rolling in cash due to unjustified salary hikes. Look at Oakland University, where I graduated, the president of that university earns nearly 500,000$ per year with an allowance for housing. Who pays for that? Those who pay tuition. Business as usual in the good old US of A, blame the working poor for wanting some type of support after paying taxes like everyone else. The success of a country is not measured by how much money can be earned or how strong your military is, but by how much we do to help take care of each other. I'm sending positive thoughts to both you and your daughter Amanda. :)

  161. Duane Peace

    Farid, Daniel and Troy – Do not ever think for one minute that you will be immune from hardship. As much as I regret having to have encountered such shameful excuses for human beings, I wish you more compassion than you give to others.

  162. Mary Purvis

    Gene Kailing 1962, I'm 56 so I know that's not even relevant… and I don't buy your research. If 55% of the US budget was providing welfare checks to the poor, we wouldn't have been able to wage a war, pay for homeland security, and there would be be no poor… to excuse 10.3 billion a year during Bush years of record profits, and I remember that too… explain it to your 21 year children that can't afford college… or medical insurance, maybe they should move to Germany, and maybe you should use your research skills to see how they've instituted programs that decrease their carbon foot print, benifiting not only their people but the rest of humanity… like I said enjoy your self and the pumps

  163. Donna Reimels

    OK my husband signed on for unsubsized consolidation loan,AES handles it it is a parent plus. Well thru the years a lot has happened loosing a ton of money on a start up company, pulled out our 401k, lost our house, well we r trying to rebuild now—- we went with 3 yrs of deferment and now with all the interest added we owe over $120'000. It won't be paid off until 2040. We were told because it is a federal loan nothing can be done This is "America this was not our fault HELP any suggestions

  164. David Riddle

    We need this, for me i have to pay fifty percent of my wage for ten years to pay off student debt, if not i could be paying for thirty years its a cancer on our society. Kids want to contribute and become educated and are punished for it.

  165. Anne Michelle

    It's ridiculous to say " I did it, so can others." a single mother of 4 making $7 an hour can't. No matter how hard she tries. I'm $65k in debt for getting my masters degree. I make enough that I can pay it back, but I'll end up paying over $200k in the end after all the interest. So some help would definitely help since I can't afford to pay more than the lowest monthly payment I'm using now. Basically, there is no one size fits all answer. We can't blame politics for everything, we have to go case by case sometimes because we all have different situations. A little compassion goes a long way.

  166. JoAnne Wagner Nyitrai

    a_suthrnbelle07 Usually you have to send in extra payment separately with a letter stating it is to be applied to principle….that's how SallieMae does it

  167. Olyvia Ray

    Michael, that's all well and good that your daughter owes nothing but some of us didn't get through college on mommy and daddy's dime. I worked three jobs and still have loan debt from my undergrad degree.

  168. Olyvia Ray

    Michael, it is nice that your daughter graduated owing nothing but not all of us had mommy and daddy's pockets to get us through college. I worked three jobs and still had loan debt from my undergrad, six years later my husband is the primary breadwinner, and in the military, and having to pay on my loans because I can't find a job.

  169. U.S. Law Attorneys, Ltd.

    This legislation may be a good start to help struggling debtors who want to pay their student loans but simply do not have the funds to do so. Bankruptcy is still an option for those drowning in debt, although student loans are only dischargeable in extreme circumstances. Those circumstances may include prolonged unemployment or an unexpected medical crisis. Even if the student debt is not dischargeable, by getting rid of other debt, you may have an easier time paying the student loans.

  170. Lori Litwiller

    Farid Jalilvand – What are you worried about? It's not your money or your tax dollars at stake here. And if you read the article it isn't really forgiving the whole debt just reducing the payment amounts to 10% of your income and forgiving the balance after 10 years of paying those payments. I'm wondering if you were calling the banks, mortgage companies, insurance companies, and auto manufacturers communists when they were being bailed out by the tax dollars of people who can't afford a house or a new car??? Perhaps you should take your Fascist attitude with you to another country! We take care of each other here – we don't exploit our fellow Americans!!!

  171. Lori Litwiller

    Troy Hendrickson – Why not give Linda welfare to buy more things? We certainly have no problems bailing out corporations that take on more debt than they can handle and drive their businesses into the ground. But then why shouldn't they…since they know that the government will bail them out with taxpayer dollars. I personally, would rather help individual Americans with my tax dollars than a bunch of greedy, reckless jerks who have not one shred of social responsibility whether it is paying their workers pathetic wages or dumping waste into our water supply.

  172. Linda Nix

    College isn't a right and it's like anything else, if you can't afford it don't do it. I was lower middle class, got a few grants and went to a branch college and paid for my own education. Ran out of money so I joined the army and they helped pay for college. I had no debts or loans when I graduated. There is no fiscal responsibility anymore. If you want something work for it and quit your crying. We've been saving for our daughters college since she was born because I know things have changed. We don't have a big house or fancy cars because we choose to live within our means. We should be able to pay for most of her tuition and she's responsible for the the books etc. I'm tired of free rides. Work for it or delay it, instant gratification comes with costs, live with it.

  173. Linda Nix

    As a follow up to my post below, if this passes does that mean once again I ( I meaning fiscially responsible people), will be over charged to pay for those who are forgiven of their loans, cause someone is going to have to pick up the tab.

  174. Sue Linder McCormick

    Of course it does, fiscally responsible people are always screwed….

  175. Brian Faunce

    The banks did not cause this crisis and you are grossly mistaken if you think that all of the blame can be placed on them. Greedy people who were quite aware that they could possibly not afford a $400K house when they have a combined income of $40K a year and so they lied and cheated the banks into lending them money and then when the housing bubble burst, they acted like the victims. The education system is no different. People take out $40k to go to school to get a degree in something that they "want to do" and "feel the calling to help society" but the fact is that they do not have the intelligence to spend 30 minutes looking up the projected job prospects for their field in the next 5 years. Then they graduate, realize no one really gives a shit if you have an English, history, poli sci, theatre, etc. degree because guess what, they don't want to teach English or history, become an actor, go into politics, etc. and then they want for the rest of the more intelligent, hard-working Americans to pay their bills because they are too fucking stupid to research their prospective job industry before they get a job. Fuck them, I am not paying a cent and it is these tree-hugging liberal fuckers who are single-handedly destroying this country because they are instilling in these people heads that they have been wronged somehow when they are just fucking stupid and lazy. I love how people always bring up the "big greedy banks" when it is the greedy population that put them in financial trouble in the first place. And btw, many of the banks have paid back a substantial portion of the money that was borrowed unlike these deadbeat students who will never pay back one fucking cent.

  176. Melinda Sauvage

    I have three degrees and can't get a business loan to start up my office and can't get a job because people think I am over qualified so I live on 12000 a year for the past year. I owe 230000 in loans and a single mother of one 3 yr old. How can I afford 800 a month in repayments. Do the math.

  177. Kevin Stanton

    Just one point that i have to make, if we file bankruptcy because we cant pay or default, it comes of our credit report in 7 to 10 yrs and the banks still dont get the money back. N the kids who couldnt pay the loans back end up free of debt in less time and have no record in less time than if they were to attempt to starve themselves to pay it back. Just saying if the government helps, then the students can pay back some, which adds money to the economy and buy homes n cars which again add money into the economy….

  178. Robert Linscott

    Saje Williams I will give you the university of virginia, as Franklin wanted, but costs are not what they were back then, and abuse is running rampant. Again, I paid off my student loans, so why should I pay for yours? Get off your ass and get a job, no matter what job, but go to work and respond to your responsibility!! That is what a real American would do, not an indoctrinated socialist from the so called education /indoctrination system that is in place. You are quite pathetic.
    By the way, it is you that chose the college that you attended, you didn't have to go to such a prestigious or costly school, a government handout, I think NOT. Get some responsibility in your life!!

  179. Robert Linscott

    Beini Qu, sure, jump on the band wagon you fool. Quit trying to pass blame. Oh, you tried to hire somebody? But you didn't did you! Why Not?? You could have ,If you wanted to!! Quit placing blame where it is not warranted!!

  180. Robert Linscott

    Natalie White , You have a choice of schools and hence, the cost,! Argument refuted and blown out of this blog! You lose by your own admission!!

  181. Robert Linscott

    If you actually think oblowhole helped ease the student loan thing, look at the real truth of the matter and not his B.S. rhetoric. His easement of student loans by interjecting federal monies and taking over the student loans (Nationalization, can anyone say Chavez) by the federal government will actually save you on your monthly payments a really great big $10.00! Yup, that's the truth!! And you all voted for this fraud and clown!!! He is about ruining America and you, lsiberal , give me all, don't even see the forest through the trees, Pathetic!!

  182. Robert Linscott

    Things are not very different! You placed your signature on a promisary note and now you are responsible. It's the same as it was in my time! Simple, sign, now pay pay back!!

  183. Robert Linscott

    Wendy Hutchison, Like you said, "Hard work." But kid's today think that all in life is coming to them with no work becausae they went to school. That is only the beginning, you need the attitude, the personality, the ability to fit in somewhere, if you don't have people skills, guess what, you are in the open air looking forever for a job. Schools fail to teach the rudimentary skills that are base in all hirings! Grades do not always count, it's presentation of ones self! And this generation has NO Presentation as I see it!! Just Gimme, gimme, gimme!!!

  184. Beini Qu

    Robert Linscott, I would be willing to pay for your simple mind to have an education to be able to understand such a simple concept…you're a prime example of why America is what it is today. Simpletons who can't even begin to perceive any issue with a pinch of complexity. Your comments and lack of understanding are less than that of a 3 year old so do us all a favor and stop stating the obvious over and over again.

  185. Mark Seibold

    Robert Linscott would do well on a Republican news circuit. Where Saje Williams makes the good point about what would improve our citizens with free education, it sounds like Robert Linscott would rather pay for wars with our tax dollars instead of educating the community. Well Robert, where do your tax dollars go to? Guns and personal materialisms? Or would you be humbled to know that you educated some children to improve your community? These are the questions today concerning why banks like to make money and have no regard for destroying the community with their bad unregulated policies of fraudulent loans.

    Have you ever designed and built your own home for your family for over 20 years, only
    to be foreclosed and evicted from it because of tremendous job loses in this once great nation? In your philosophy, if a citizen loses a job, becomes injured or simply cannot pay the bank, then you would want them condemned or ignored because they could not make money for you. Isn’t that what’s known as a heartless attitude? That’s very un-American of you and not what the founding fathers had in mind.

    Can you think of a solution to the overall problem? Perhaps we could create new meaningful jobs that would bring a sense of pride back to the nation, and anyone that wanted a good education or to build their own home would have that opportunity.

    I believe that we can we can work together on this

    Mark Seibiold, Forced Retired from 30 years in IT, Artist-Astronomy Educator, Portland Oregon

  186. Mark Seibold

    Robert Linscott would do well on a Republican news circuit. Where Saje Williams makes the good point about what would improve our citizens with free education, it sounds like Robert Linscott would rather pay for wars with our tax dollars instead of educating the community. Well Robert, where do your tax dollars go to? Guns and personal materialisms? Or would you be humbled to know that you educated some children to improve your community? These are the questions today concerning why banks like to make money and have no regard for destroying the community with their bad unregulated policies of fraudulent loans.

    Have you ever designed and built your own home for your family for over 20 years, only
    to be foreclosed and evicted from it because of tremendous job loses in this once great nation? In your philosophy, if a citizen loses a job, becomes injured or simply cannot pay the bank, then you would want them condemned or ignored because they could not make money for you. Isn’t that what’s known as a heartless attitude? That’s very un-American of you and not what the founding fathers had in mind.

    Can you think of a solution to the overall problem? Perhaps we could create new meaningful jobs that would bring a sense of pride back to the nation, and anyone that wanted a good education or to build their own home would have that opportunity.

    I believe that we can we can work together on this

    Mark Seibiold, Forced Retired from 30 years in IT, Artist-Astronomy Educator, Portland Oregon

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  188. Anonymous

    I personally believe in fairness. If you can bail these banks , wall street , Car companies and housing market, Then student loan needs to be on that list also. Wall street and these oil companies can talk up rices for no reason just to make money. Oil companies taking in $100 billion a quarter in gas is ridiculous. And to talk about GOV spending! We do need some of the Gov programs but only if you knew how much Gov money is wasted on unnecessary programs. And yes, College tuition is off the charts. It's really worst to have a 50,000 student loan debt than to have a 200,000 Mortgage debt. If you are unable to make mortgage payments due to loss of job etc, You may lose your house or get special help. You can still file for bankrupt. But if you default on student loans for the same reasons they will let you go for a while but the interest keeps rising. And then they start garnishing your wages and you cannot file for bankrupt for student loans.

  189. Drew McCall

    Political policy pushed was being pushed thru for years by Clinton and bush to give people who could not afford homes the opportunity to have them regardless if they could afford them. What money made did not matter and the banks were well aware of this. The banks were not tricked into thinking those people could pay for homes in the long run.the houses, the profits were all short term with no regard for the future. and the short term profits from bank fees were nice.for the financial crisis goes much deeper and is heavily rooted in the banks Faunce, I love ya but take a deeper look. But you are right that people could not afford there homes, but banks should never have lended ev money for houses anyway.

  190. Drew McCall

    Political policy pushed was being pushed thru for years by Clinton and bush to give people who could not afford homes the opportunity to have them regardless if they could afford them. What money made did not matter and the banks were well aware of this. The banks were not tricked into thinking those people could pay for homes in the long run.the houses, the profits were all short term with no regard for the future. and the short term profits from bank fees were nice.for the financial crisis goes much deeper and is heavily rooted in the banks Faunce, I love ya but take a deeper look. But you are right that people could not afford there homes, but banks should never have lended ev money for houses anyway.

  191. Drew McCall

    You are delusional if you think the banks are not greedy Faunce and you desperately need a history lesson. You have been a victim of the propaganda machine of uncle Sam. Please don't take this as an insult but as constructive criticism.

  192. Drew McCall

    You are delusional if you think the banks are not greedy Faunce and you desperately need a history lesson. You have been a victim of the propaganda machine of uncle Sam. Please don't take this as an insult but as constructive criticism.