$500,000 in Student Loan Debt

[Ben]

Holy cow - How do you get $500K in student loan debt?!? How do you not start seeing a problem past say, the $100K mark? And We're supposed to bail people like this out.

If people want to go $1mil into student loan debt, I don't care as long as it's between them and a private university, but leave my tax dollars out of it.

https://twitchy.com/brettt-3136/2019/08/03/heres-your-problem-right-here-cnbc-shares-sympathetic-portrait-of-woman-with-500000-in-student-loans/

[MechAg94]

The govt really needs to stop backing these loans. 

It almost sounds like she was living off student loans for her entire time in school. 

Also, they mentioned this:

Bernie Sanders’ senior policy advisor didn’t do her credibility any favors when she admitted she’s $180,000 in debt and pays $1,100 a month in student loan payments or half her rent. (Looks like she’s since deleted the tweet.)

Not the same person, but does that mean she is paying $2200 in rent?  That is insane. 

[WLJ]

The govt really needs to stop backing these loans. 

It almost sounds like she was living off student loans for her entire time in school. 

Also, they mentioned this:Not the same person, but does that mean she is paying $2200 in rent?  That is insane. 

That's a one bedroom in many cities

[Angel Eyes]

That's a one bedroom in many cities

Yup.  Well below average in San Francisco:

https://www.rentjungle.com/average-rent-in-san-francisco-rent-trends

[MechAg94]

It is still insane. 

It should mean everyone moves out of those cities, but I guess people will put up with a lot rather than move.

[Angel Eyes]

Not nearly as insane as $500K in student loan debt.

[T.O.M.]

There were some people I knew in law school that lived completely off of student loans.  Tuition, expenses, rent, food, utility bills, car payment, etc.  They took the max each semester in loans.  They walked out of law school (six semesters) with debts around $250K.  Add in undergrad loans, and I can see that approaching $500K. 

Now, that's stupid.  I traded military service for undergrad tuition.  I took out student loans that covered tuition, and not much more.  I lived cheap.  And my student loans were just under $100K. 

This is not just an issue of "college costs."  It's a problem of too many kids (and families) who max out student loans, taking out far more than is needed to cover tuition, room and board, etc., so they have money for other things.  And that is a big part of the problem.

[Ned Hamford]

I can tell you at my law school the student financial services were so helpful they filled out my forms and signed my name.  I've no reason to expect mine was a special case and any different from the regular college for that university.  Happy words to keep students pliant and screw em when they aren't here anymore.  I was told I was entitled to those 'living expenses,' when I had worked through college and was using my savings to offset laws school expenses. 

The school was outright hostile to anyone trying to work while going to school.  While arguments can be made for focus; I'd call the experience pure indoctrination.  A friend of mine was broken by the experience and it still makes me sad. 

[T.O.M.]

Ned, that is crazy.  While we couldn't work first year, it was based on the idea that 1L year is hard, and stressful,  and needs full attention.  But forging documents?  Since they are federal students loans, wouldn't that be a federal offense?

[Ned Hamford]

Ned, that is crazy.  While we couldn't work first year, it was based on the idea that 1L year is hard, and stressful,  and needs full attention.  But forging documents?  Since they are federal students loans, wouldn't that be a federal offense?

It certainly would be; but as its money going to students and their place of learning; I don't expect much fuss has ever been made. 

I remember when Bank of America signed my name and opened a business with it.  IRS just said 'ok.' (They didn't know a business could operate under the proprietor's own name, so they did the DBA work for me).  So I expect there are tons of other things I'd think outrageous that are daily common. 

And I think I've mentioned it before how when my federal loan was moved from one company to another, company one pocketed over a grand and 7 years later the AG got me $120 back with no admittance of wrongdoing.  Me and a few hundred thousand other students.  Little crimes will see folks nailed to the wall; but big crimes will be hand waived away.