Bush signs budget - student loan interest rates 6.8%

The changes aren't expected to reduce the number of those eligible for student loans. Instead, they are expected to result in higher interest payments for many student-loan borrowers, particularly parents of college students. In the 2002-03 school year, more than six million students took federal student loans to pay for college. <CUT>

http://www.collegejournal.com/aidadmissions/newstrends/20051223-chaker.html

From his speech:
""The temptation with uncertainty and competition is to say 'We can't compete.' ... If you look at the history of the United States, the economic history, there have been periods of protectionism and isolationism in the hopes that that will lead to a better lifestyle for our citizens.""

http://www.cnn.com/2006/POLITICS/02/08/bush.budget/index.html


For those of you that thought it was a good thing to take the defaulted student loan payments from the old and sick on social security - this ought to be wind beneath your wings. Now they get everyone

Seriously, isn't this bad policy? Subsidies help people get started...we need more starters.

 

loans versus scholies

Nice in theory, but student default rates were too high. I say more money should go to MERIT... those who perform in the classroom should get the aid. More scholarship dollars. My advice to my students is loans? Only as a LAST RESORT. You have to PAY THEM BACK! Far too many in the past looked at loans as free money.

 

Secretary Spellings Announces New Low Student Loan Default Rate

http://www.ed.gov/news/pressreleases/2005/09/09142005.html

don't think so

 

I believe many student loan defaults are the result of les than wonderful trade schools who snooker students in, don't train them for anything they can actually get a job doing, and then expel them into the world with a big debt.

Just my suspicions.

-GME

Have you ever known anyone who was in default on a student loan? (I have, someone who didn't have a pot to piss in). Student loan folk came after her so relentlessly and harshly, she seriously considered suicide as the only practical way out (since the student loan collection folk were lying to her and saying she was barred from bankruptcy because she had a student loan).