If we want young people to buy homes, start businesses, and build families, we have to tackle the student loan trap. The U.S. government has quietly turned itself into the largest predatory lender in the world, raking in nearly $80 billion a year in interest while trapping kids in endless debt cycles.
@caroljsroth laid out a common-sense plan that
@POTUS could implement to fix this problem basically overnight:
“They go after teenagers who aren't old enough to vote or drink alcohol and enable the saddling of tens—sometimes hundreds—of thousands of dollars in debt to transfer wealth wholesale from young people to college administrators.
Get the government out of student lending, go back to an underwriting process, and require colleges to be on the hook for at least a portion of it. Make student debt eligible for bankruptcy just like any other personal debt.
For existing loans, we need to look at that, and if they've paid in a lot of interest, we need to rejigger that and say, 'We should have counted a portion of this towards your principal.' This would be the lowest-hanging fruit for the president to address young people and say, 'This isn't fair.'"