- My Forums
- Tiger Rant
- LSU Recruiting
- SEC Rant
- Saints Talk
- Pelicans Talk
- More Sports Board
- Fantasy Sports
- Golf Board
- Soccer Board
- O-T Lounge
- Tech Board
- Home/Garden Board
- Outdoor Board
- Health/Fitness Board
- Movie/TV Board
- Book Board
- Music Board
- Political Talk
- Money Talk
- Fark Board
- Gaming Board
- Travel Board
- Food/Drink Board
- Ticket Exchange
- TD Help Board
Customize My Forums- View All Forums
- Show Left Links
- Topic Sort Options
- Trending Topics
- Recent Topics
- Active Topics
Started By
Message
re: Barack Obama cracks down on for-profit colleges: Why do it this way?
Posted on 3/14/14 at 8:38 am to MMauler
Posted on 3/14/14 at 8:38 am to MMauler
quote:
One solution could be to require these schools to be on the hook when a certain percent of their former students (graduates and non graduates) default on their student loans.
Didn't think you could default on student loans? At least not the federal ones (ie the ones that really matter).
3
Posted on 3/14/14 at 8:43 am to BigJim
quote:
Didn't think you could default on student loans? At least not the federal ones (ie the ones that really matter).
You're confusing defaulting and discharging in bankruptcy.
The mere act of not paying is defaulting. Anyone can default.
But, you can't discharge these student loans in bankruptcy.
There have been several legislative attempts to allow non-Federal loans to be dischargeable in bankruptcy. But, the student loan lobby and the for-profit schools spread around enough lobbying money to make sure this will never happen.
This post was edited on 3/14/14 at 8:51 am
Posted on 3/14/14 at 10:07 am to BigJim
quote:
Didn't think you could default on student loans? At least not the federal ones (ie the ones that really matter).
quote:
Prior to 2005, private label student loans were treated like other unsecured debt in bankruptcy, and were essentially discharged at the end of the bankruptcy case.
However, in 2005, Congress changed the status of private label loans in bankruptcy to match that of federal loans.
LINK
Posted on 3/14/14 at 10:08 am to BigJim
quote:ypu can't. They are non-dis-chargeable by bankruptcy.
Didn't think you could default on student loans? At least not the federal ones (ie the ones that really matter).
Page 1 of 1
Back to top
Follow TigerDroppings for LSU Football News