Tulane Skins Fan Posted March 30, 2010 Share Posted March 30, 2010 If Obama hadn't lost me before, he certainly has now. Because he doesn't want the government to profit off the loans it already is making? Seriously? Link to comment Share on other sites More sharing options...
Teller Posted March 30, 2010 Share Posted March 30, 2010 Because he doesn't want the government to profit off the loans it already is making? Seriously? Because I expect the money distributed to individual students to be pretty similar to the money distributed to universities. (There are just over 100 HBCU [or CBCU's] in the United States. This equates to right around $25 million each, if divided evenly among them.) I can just imagine what would have happened if "W" had identified the 100 whitest schools in America, and tossed them $25 million each. It's wrong either way. Link to comment Share on other sites More sharing options...
sjinhan Posted March 30, 2010 Share Posted March 30, 2010 So just eliminating the subsidies themselves couldn't fix this? Instead they will subsidize the entire process and Sallie Mae will continue to process the loans, collect the money, and now they incur none of the liability. the MAIN reason why most students can get a student loans from banks to go to school is because of the subsidies... if the kids defaults then the government pays the banks... if you take the government subsidies away then its going to become real difficult for kids to get student loans without their parents co-signing... all they are doing is taking out the middle man. Link to comment Share on other sites More sharing options...
Prosperity Posted March 30, 2010 Share Posted March 30, 2010 I'd also like to see a G.I. Bill on roids. I want all the fine folks who are serving to get a full ride for college if they choose. it's already pretty damn generous Link to comment Share on other sites More sharing options...
Renegade7 Posted March 30, 2010 Share Posted March 30, 2010 I'm looking at this the same way I'm looking at health care reform: this is merely step one, a foundation, and will be built upon over time. Obama already said he wanted to make an emphasis on education in his presidency, which also involves the coming review and reform of NCLB. The less the private industry has to do with the student loan process, the easier government can reform it. It truely is amazing how many people I've meet that are twice my age and still paying off student loan interest (which can at times be multiple times more then the actual money borrowed to go to school in the first place due to life challenges and accumulation over time). The banks really don't give a damn about us, so change was neccesary. As a college student in a troubled economy, I approve of this move by Obama. As an American, I'm looking for more reform like this for the better of the average citizen, not just the individuals who think they should be running everything. The status quo maybe working for some, but it ain't working for most of us. Link to comment Share on other sites More sharing options...
buenosdiaz Posted March 30, 2010 Share Posted March 30, 2010 does this mean more obama money in pockets? i'm already arranging to get back on my mom's health care haha Link to comment Share on other sites More sharing options...
December90 Posted March 30, 2010 Share Posted March 30, 2010 Don't you just love the smell of nationalization in the morning? Wagers on what industry is the next victim? Auto Industry (DONE) Banking Industry (DONE) Education K-12 (DONE) Education - college (in Process) Maybe Oil (you know the guys who were dragged before Congress to explain why they actually were making a fair and reasonable profit not all that long ago) Link to comment Share on other sites More sharing options...
Teller Posted March 30, 2010 Share Posted March 30, 2010 Auto Industry (DONE)Banking Industry (DONE) Education K-12 (DONE) Education - college (in Process) Maybe Oil (you know the guys who were dragged before Congress to explain why they actually were making a fair and reasonable profit not all that long ago) Maybe, hell. Maxine Waters already said that's coming. Link to comment Share on other sites More sharing options...
Renegade7 Posted March 30, 2010 Share Posted March 30, 2010 it's already pretty damn generous Are you military, Prosperity? I go to school with a lot of people that are active, on call, or out right now, and I listen to what they say about what they're going thru concerning the G.I. Bill, both good and bad. I don't mean to put you on blast, but I am curious by what you mean by "it's already pretty damn generous". Link to comment Share on other sites More sharing options...
December90 Posted March 30, 2010 Share Posted March 30, 2010 Eliminating those subsidies would increase the cost of a college education by thousands of dollars. You're talking about making the cost of attendance prohibitive for students from low income families. You have your basic economics wrong here. When the Government subsidizes things, there is no real pressure to keep costs down, take away the Government subsidies and over time costs will normalize to where they should be. When are we all going to stop asking for our own special flavor of Government handout? Free stuff is not now and has never been really "free" - someone has to pay for it. Link to comment Share on other sites More sharing options...
buenosdiaz Posted March 30, 2010 Share Posted March 30, 2010 i interned with the VA one summer doing disability claims every once in a while I would assist people with their GI Bill stuff and the beauracratic BS would prevent sooo many people from taking advantage of their school benefits However, if you play it by the books and have all the appropriate paperwork it is pretty useful, but that often isn't the case Link to comment Share on other sites More sharing options...
TimmySmith Posted March 30, 2010 Share Posted March 30, 2010 the MAIN reason why most students can get a student loans from banks to go to school is because of the subsidies... if the kids defaults then the government pays the banks... if you take the government subsidies away then its going to become real difficult for kids to get student loans without their parents co-signing...all they are doing is taking out the middle man. Ummm. The government is currently the middle man. The entity being taken out is the loan originator, i.e. the banks. The government usurps that role. You can see where the cries of socialism come from. Link to comment Share on other sites More sharing options...
Prosperity Posted March 30, 2010 Share Posted March 30, 2010 Are you military, Prosperity? I go to school with a lot of people that are active, on call, or out right now, and I listen to what they say about what they're going thru concerning the G.I. Bill, both good and bad. I don't mean to put you on blast, but I am curious by what you mean by "it's already pretty damn generous". a lot of my classmates are... and by that I mean they get pretty chunk of money that nobody else gets. Anything else is covered by standard financial aid (which is by itself pretty generous). so it's pretty damn generous it's good the way it is, that's all I'm saying Link to comment Share on other sites More sharing options...
sjinhan Posted March 30, 2010 Share Posted March 30, 2010 Ummm. The government is currently the middle man. The entity being taken out is the loan originator, i.e. the banks. The government usurps that role. You can see where the cries of socialism come from. umm no the banks are the middle man... The bank does issue to the loans but the bank has almost no risk associated with the loan since the government subsidies the loans by basically repaying on any student loans that defaults... The bank essentially has no money at RISK and all they do is admin work and collects interest... If you look at the big picture, its the government that is giving loans to the students... so if you are like me who had somewhat wealthy parents but had to pay for their own college, probably you had to settle on those private student loans.. this bill has no impact on you. Link to comment Share on other sites More sharing options...
boobiemiles Posted March 30, 2010 Share Posted March 30, 2010 How can you hate a bill that give Americans a better change at affordable higher education? The more grants, the less you pay back, the more income you have to spend. I like the fact that the governement is stepping in as a referee to speak. We saw what happens when you give institution absolute power, it corrupts absolutely. Link to comment Share on other sites More sharing options...
boobiemiles Posted March 30, 2010 Share Posted March 30, 2010 umm no the banks are the middle man... The bank does issue to the loans but the bank has almost no risk associated with the loan since the government subsidies the loans by basically repaying on any student loans that defaults... The bank essentially has no money at RISK and all they do is admin work and collects interest... If you look at the big picture, its the government that is giving loans to the students...so if you are like me who had somewhat wealthy parents but had to pay for their own college, probably you had to settle on those private student loans.. this bill has no impact on you. but don't you see that this bill can help you once you are the sole bread winner in your own household. If I am reading right, you have a better chance at getting loans for graduate school, and can earn more with a higher degree. Link to comment Share on other sites More sharing options...
sjinhan Posted March 30, 2010 Share Posted March 30, 2010 How can you hate a bill that give Americans a better change at affordable higher education? The more grants, the less you pay back, the more income you have to spend. I like the fact that the governement is stepping in as a referee to speak. We saw what happens when you give institution absolute power, it corrupts absolutely. yeah that could be the case... for me its simple... the government is essentially putting up money on these loans so why should get the banks get all the interest off the loans when they really have must risk assoiated with it... let the government that is taking on the risk for you get all my interest payments on my student loans... Link to comment Share on other sites More sharing options...
sjinhan Posted March 30, 2010 Share Posted March 30, 2010 but don't you see that this bill can help you once you are the sole bread winner in your own household. If I am reading right, you have a better chance at getting loans for graduate school, and can earn more with a higher degree. yeah the plan is that they are taking the interest collected and hoping to pump that back into the system for more grants instead of the banks just keep the money for profit... i dont think i will ever qualify for grants since i am doing pretty well... so this really doesnt effect me directly... i jsut think this bill makes sense... I am sure it sucks for the banks but they were just getting handout and i do not like that at all.. AND I AM A DEMOCRAT! haha Link to comment Share on other sites More sharing options...
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