student government loans

the u.s. government is poised toforgive a whopping $1.8 billion in student loans. these are specifically ã± video buffering ã± the plans set monthly paymentsas a percentage of a borrowers income, and extendrepayment from the standard 10 years to up to 25 years. if they are unable to repay therest of that loan after 25

years, the remaining balancesare forgiven. let me break down the numbers alittle further for you. keep in mind that we have aboutone $.2 trillion in student loan debt, which is severelyimpacting peoples ability to contribute to the economy. they are unable to buy cars,homes, things like that. enrollment in the plans has morethan tripled in the past three years to 5.3 million borrowersas of june, and are now required to be making payments.

they collectively over $355billion. the government accountabilityoffice estimates that $137 billion of that won't be repaid. most will be forgiven because ofborrowers fulfilling their obligations through enrollmentplans. the overall sum couldcontinue to grow alongside enrollment increase. the wall street journal articleon this had a panicked tone to it.

like, oh my god, this is ascathing report, it turns out some kids are going, afterpaying their loans for years and years, decades anddecades, at some point will not have the loan held overtheir head. oh god dammit. it's almost like people who gobankrupt, and their loans are forgiven. and to the tune of hundreds ofmillions of dollars, and then they later become president.

i did not see the wall streetjournal crying about that. agree to disagree, i think thisis great news. let me give you a little morebackground on why it was painted as bad news. the education department, underthe obama administration, has a budget and they make estimatesin terms of how much they are probably going to have tospend in forgiving these loans. they underestimated it due totheir methodology. so their office was like, whatthe hell is going on?

the number is wrong. are we really going to helpamerican taxpayers? are we really going to helppeople who went out of their way to get an education so that theycan be contributors in society? screw them, they screwed up. the education department waslike, duly noted, we are going to be better in estimatinghow much we are going to have to spend to forgive studentloans. by the way, the federalgovernment makes a ton of

money on interest due to thesefederal student loans. the interest rate is much higherfor students as opposed to banks who borrow from thefederal government, so keep that in mind as well. is it the job of the governmentaccountability office to hold them accountable? yes, so i'm not concernedwith those parts, and the government accountabilityoffice is supposed to yell at people when they ã± well, theydidn't make a mistake on purpose

ã± when they find out that, yourprojections didn't come true. okay, but this is a mistake onbehalf of american people, and on behalf of your kids, or nowyou, to actually have an opportunity. the same opportunity that someothers have had, right? on the other hand, in iraq, welose like, i forget the numbers but they were stunning, it's inthe billions of dollars. and they would come back andsay, sorry we lost $6 billion. if a story after story, andnobody would bat an eye.

that has to do with makingweapons manufacturers happy. in that case if there's a littleunderestimating on budgets, that's okay. but when it comes to helpingamerican students, we have to hold everybody accountableguys, come on. one last piece of context foryou guys, when we're about to go to the war in iraq,neoconservatives in congress promised it would only cost acouple billion dollars. in reality, it cost a coupletrillion dollars.

so you give me the coupletrillion dollars back from the rack, and then i'll cry abouthow some people paid back their loans for decades, but and atthe end, some small portion of it was relieved. yeah, that at least went toamerican citizens who got an education. compared to what happened iniraq it's nothing. one final thing i have to add tothis, yes the remainder of the student loans are forgiven after25

years, but guess what happens? then the irs comes after thestudents for earned income taxes. so they will have to pay andearned income tax on the forgiveness of that loan. jesus guys, indentured servitudefor seven years. this is 25 years. when is enough enough? this is not a bad news story,this is a great new story.

congratulations to presidentobama, this is one of his accomplishments. thank you.