Can’t garnish wages when there’s no wages to garnish because the people in collections got laid off or couldn’t find a job to begin with. This will definitely help stimulate the already teetering economy!
G07V3 on
I can understand garnishing wages of the people who simply straight up refuse to pay back their loans but are able to pay it back but why go after the people who are genuinely trying to pay off their loans? Someone could have been laid off and unable to pay off their loans for at least 90 days and now when they do get another job they will have their income taken from them.
LittleTension8765 on
To begin? You mean to restart. This is how a headline can have an obvious bias even without it being incredibly explicit. This is what the program had been doing pre-Covid. It’s going back to the normal program guidelines
JetpackNinjaDino209 on
I went back for my nursing degree last year and I am now a licensed RN. I paid for my schooling out of pocket after saving for it, but many in my cohort did not. Now they are facing loan defaults with out having secured employment as the new grad job search pains are a real thing here in California. I agree for many this will be a wild ride over the next few years.
Piod1 on
Debts are chains stronger than steel but far more insidious. Slavery with extra steps, instead of the step up of choices and futures . That both benefit the individual and the prosperity of the country. Just another class divide mandated from above in all reality.
NameLips on
Back to the bad old days. It was bound to happen.
Garnishing can also affect tax returns, inheritances, and other windfalls. Anything that goes through the syatem.
samhouston84 on
I sleep well knowing that my tax money will be sent to only one foreign nation, so that their citizens can get free healthcare, while, I will have my taxed income further garnished for not being able to pay for the education, that was required to get my current job!
Own-Chemist2228 on
Student loans are based on a very sound economic principle:
Borrow money, invest that money, the investment pays off more than the cost of borrowing.
For many young people, education can be the best investment possible. Despite all the problems with student loans, most loans are a good investment. Most money borrowed for education does yield higher lifetime earnings.
But although there are many success stories, there are many failures. Those are what we hear about as “the student loan crisis.”
Student loans go wrong when the investment returns on many education is not worth the cost of financing. This is happening more and more as the value of a college education is diminishing.
It has become more risky for banks to lend to students, as many degrees don’t pay off. In a market economy banks would just not lend to certain students and filter by degree, etc. But the government requires many loans be given to anyone regardless of their potential earnings potential.
Also, the government mitigated risk to lenders by making student loans non-dischargeable in bankruptcy, which means the banks can hound you forever.
It’s a broken system, and we can’t fix it until we recalibrate the parameters. College just isn’t worth it for everyone and every degree, and bad decisions are being made. The current system burdens young, unsophisticated people with these decisions and the consequences of bad loans. That needs to change.
8 Comments
Can’t garnish wages when there’s no wages to garnish because the people in collections got laid off or couldn’t find a job to begin with. This will definitely help stimulate the already teetering economy!
I can understand garnishing wages of the people who simply straight up refuse to pay back their loans but are able to pay it back but why go after the people who are genuinely trying to pay off their loans? Someone could have been laid off and unable to pay off their loans for at least 90 days and now when they do get another job they will have their income taken from them.
To begin? You mean to restart. This is how a headline can have an obvious bias even without it being incredibly explicit. This is what the program had been doing pre-Covid. It’s going back to the normal program guidelines
I went back for my nursing degree last year and I am now a licensed RN. I paid for my schooling out of pocket after saving for it, but many in my cohort did not. Now they are facing loan defaults with out having secured employment as the new grad job search pains are a real thing here in California. I agree for many this will be a wild ride over the next few years.
Debts are chains stronger than steel but far more insidious. Slavery with extra steps, instead of the step up of choices and futures . That both benefit the individual and the prosperity of the country. Just another class divide mandated from above in all reality.
Back to the bad old days. It was bound to happen.
Garnishing can also affect tax returns, inheritances, and other windfalls. Anything that goes through the syatem.
I sleep well knowing that my tax money will be sent to only one foreign nation, so that their citizens can get free healthcare, while, I will have my taxed income further garnished for not being able to pay for the education, that was required to get my current job!
Student loans are based on a very sound economic principle:
Borrow money, invest that money, the investment pays off more than the cost of borrowing.
For many young people, education can be the best investment possible. Despite all the problems with student loans, most loans are a good investment. Most money borrowed for education does yield higher lifetime earnings.
But although there are many success stories, there are many failures. Those are what we hear about as “the student loan crisis.”
Student loans go wrong when the investment returns on many education is not worth the cost of financing. This is happening more and more as the value of a college education is diminishing.
It has become more risky for banks to lend to students, as many degrees don’t pay off. In a market economy banks would just not lend to certain students and filter by degree, etc. But the government requires many loans be given to anyone regardless of their potential earnings potential.
Also, the government mitigated risk to lenders by making student loans non-dischargeable in bankruptcy, which means the banks can hound you forever.
It’s a broken system, and we can’t fix it until we recalibrate the parameters. College just isn’t worth it for everyone and every degree, and bad decisions are being made. The current system burdens young, unsophisticated people with these decisions and the consequences of bad loans. That needs to change.