Stimulate Economy--Forgive Student Loan Debt!

Obama Touts Plan to Change Student Loan System
Obama proposes a good first step in the failed student loan system--get the banks out it! Like credit card debt, banks have been saddling students with debts many cannot and will no repay. Unlike most European countries, where public college tuition is free (publicly funded), American students now primarily rely on student loans to cover the rising costs of college tuition and other expenses (food, housing, etc.) It's another financial crisis about to explode.

Obama wants to eliminate government subsidies to private banks, which profit from student loans while the government "guarantees" the loans (profit without financial risks for banks), and make all student loans directly from the Dept. of Education.

This is a good first step, but doesn't go far enough. Public education should not stop with high school, it should continue through college. There should be NO student loans, and no student loan debts. All current student loan debts should be forgiven.

This is also another way to "stimulate" the economy. Instead of struggling to pay down loans, college graduates could be buying homes, cars, etc., i.e., stimulating demand and economic growth.

Of course, the right-wing conservatives are already crying "socialism" just for Obama's meager proposal.

Education, like healthcare, should be a RIGHT, not a privilege for the wealthy, or a commodity for banks to profit off the backs of struggling students.

If the U.S. government can "bail out" rich Wall Street bankers and financiers, why can't it bail out students??

WHITE HOUSE: Student Loans--Cutting Out the Middle Man
Forgiving Student Loan Debt Would Stimulate the Economy
See Student Loan Justice

Student Loan Slavery

With the costs (tuition, books, etc.) of college skyrocketing, and less "financial aid", more and more college students are relying on "student loans" to pay for college. There are many sad cases, I'm one of them, of people who leave college or graduate school with $50,000-$100,000 in student loan debt they cannot pay back. Student Loan debt CANNOT be forgiven or wiped out, even in bankruptcy, except under very specific circumstances (teaching in certain areas, military service, etc.) and Congress just recently passed some help that will forgive student loans if you work in "public service" (teaching, police, non-profit, etc.) for 10 years.

Ever had a waiter with a Ph.D. in Philosophy? I have. I know people with Ph.D's who CANNOT FIND A JOB! And they have more education and loan debt than most lawyers and doctors!

Most programs (e.g., AmeriCorp) to pay off student loans are geared to undergraduates and don't even apply to graduate students, and cannot be used to pay off debt after the fact.

So where is the "bailout" for those who are slaves to student loan debt they cannot pay?
Why do Americans rely on student loans to pay for college? In most Western European countries, public college tuition is FREE (like our public schools). In France, Germany, etc. you don't need student loans to go to college or graduate school! It's all paid!

Why aren't U.S. political leaders even discussing this problem?

College Loan Slavery: Student Loan Debt Out of Hand

Going to College or Grad School Looks Like A Disaster

If you want to read the sad stories check out:

Student Loan Justice

Project on Student Loan Debt

Those with student loan debts will probably have to get in line behind the bankers, Wall Street financiers, and others begging for government handouts...

UPDATE--NYT: College May Become Unaffordable for Most in the U.S.