It isn’t about “giving people free stuff.” It is about investing in our people.
We cannot have a COVID19 vaccine now because it is simply unfair to those who suffered through the illness and those who died. . . goes the reasoning of the Oligarchy Transnational Elite Coalition (OTEC) - erroneously referred to as the “centrist democrats”.
Quote from the article: "However, now that the freeze on payments is scheduled to end on December 31, millions of Americans will “have the sudden shock of an additional large bill.”
I don’t know if Dayen intended it, but that wording could be interpreted to mean that the stalled 9 months worth of payments will have to be paid back in a lump sum. Actually, the payments will simply continue as before.
Unless Biden launches Nuremberg style trials on January 21 to bring Trump, his appointees and enablers to justice the GOP’s power will keep increasing, thereby preventing Biden from doing ANYRTHING…so loan forgiveness is not the highest priority.
Until the movers in the organized crime syndicate disguised as the GOP are behind bars, the economy will continue in a downward spiral and student debt won’t be addressed at all.
Eliminate the student loan debt. Deficits don’t matter. US government can afford anything like $30 trillion in interest free bailouts to Wall St just this year while 300 million Americans still await COVID relief 6 months later.
The question is, did interest continue to accrue on those deferred payments?
1.7 trillion dollars is a lot of loot for new federal treasurer to borrow and hand over to education dept to hand out to former college students.
Maybe take a big ten schools average loan amount for the past five years, Indiana University in Bloomingon, for example. Then this amount is distributed to those who have undergrad degrees.
No forgiveness for law school, MBA, art history masters degrees.
Private colleges may apply for their grads be included, but the max amount = the Indiana amount.
Note that the average monthly payment is $250. 00 and is less than the graduates car payment.
The american indian should have our financial support before the college graduates.
And - no more federal backed loans provided !! The colleges simply increased tuitions. 1985 Bowling Green State University was about $3,500 per year and now $17,000+ per year. Heck of a lot more than inflation, wages to instructors, etc.
Good question. It would be unusual for the vampire squid to release its grip. The holders of student debt can force the hand of Trump or Biden by annuncing a planned debt strike. If the GOP were smart, Trump could forgie the loans and take away the huge advantage debt forgiveness would give the Democrats.
Those loans are the only debt besides what is owed directly to the US government that cannot be discharged in bankruptcy. There are laws that say it can be but over 99% who go through the process fail. That means that Wall Street already owns the Social Security of 40 million Amerians. Social Security, tax refunds and stimulus checks can be garnished to pay those loans in default unless they are discharged legally.Those govt. guaranteed loans have been bundled, sold and resold like subprime motgages in 2007. A strike would have collateral consequences. Perhaps Wall Street will start to fail again and have to be bailed out AGAIN.
Wall Street has people by the credit score so many will be reluctant to risk a bad score by not paying a debt, but if there is an organized and announced strike with the requirement that credit scores be shielded, muchn of that perceived risk will be eliminated. I say go for it.
I borrowed $15,000 in the mid '80s. The bank took $1500 off the top, so I received $13,500. I made timely payments until I had cancer and chemo and lost my job. The loan went into disability for some months (no interest), but then switched to forbearance, which means I didn’t have to make payments, but the interest continued and capitalized, so that I was being charged interest on the interest. I filed for bankruptcy in the mid-nineties, but the only way the loan could be discharged was if I had dependent children or I was dead.
Very long story later, the loan went on an income-based payment plan in 2013. You might not know that every time the loan changes hands or goes on a new plan, it gets a new start date. So instead of 20 or 25 years from 1985, the loan will be discharged 20 or 25 years from 2013. I will have had the loan for over 50 years. It’s now nearly $50,000, so it will probably triple by then. In the meantime, the taxpayers are making the monthly payments that don’t cover the interest… around $80,000 total. So the taxpayers could wind up paying up to $250,000 on the $13,500 I received. And this doesn’t take into account all the payments I made when I was employed.
So it’s actually less costly to the taxpayers to discharge the loans now than to continue paying them for another 20 years. THAT is why student loan debt is over a trillion dollars. With that debt gone, money could be spent on goods and services provided by regular people instead of the money going to pad the pockets of the bankers and lawmakers.
Student loans are an enormous scam by the banks in league with the government, kept in place by the inability to discharge the loan in bankruptcy. Millionaires can file bankruptcy on their debts, but not young people who are saddled with increasing debt for the rest of their lives. $13,500 becomes $250,000. This is the reality of what we’re dealing with here.
Thanks for reading.
No, it did not.
Color me amazed.
It may seem unusual but the Republican push-back against socialism that it means giving free stuff to everybody is actually correct.
“from each according to ability, to each according to needs”
The socialist goal is to end the exchange economy, to end the wages system, and make the actual use of money (or barter) redundant. Yes, every necessity of life and even luxuries, free to take without having to pay for them.
That is what socialism always meant even if there were differences on how to achieve it. Check out Eugene Debs. Now that vision has disappeared and the supposed “revolutionary” alternative is a Nordic-style welfare state.
We have the means to produce abundance (without harming the planet), we have the means to distribute this abundance but we don’t possess the will. The owning, employing capitalist class have succeeded in that sense. They have emasculated the original aspirations of the socialist movement.
For an explanation of a money-free world see here
There are many other related articles at that website on the topic to read.
And it is not alone.
There is The Zeitgeist Movement with the same aim, the Industrial Workers of the World, the Full Automated Luxury Communism proponents and many other advocacy groups such as the Money Free Party.
Is that investing when we give 80% of a trillion and a half dollar tax cut to the rich.
Some trickle down folks would like to spread that scatology.
No worries, a little oil on the printing presses once in a while and we are good to go. sarcasm
There was no tuition at all 9 UC campuses in the 60s. Reagan fixed that. He ran for governor railing against those unruly, ungrateful hooligans at Cal. Between '58 & '68 UC added 4 campuses to accomodate an exploding population. In the 63 years since Reagan became governor UC has added one campus to accomodate an exploding population and tuition is ~$14,500/yr… During the same period Reagan dismantled much of the mental health system so many homeless are mentally sick. The current institution with the most mentally ill is L. A. County Jail. CA had 6 prisons in 1968 now it has 37 and the inmates cost the state 4 times what it costs to educate in the UC system. It is not Reagan’s fault. He was just a well trained sock puppet whose Alzheirmer’s brain was not flexible enough to comprehend what he was enabling. The .00001% know how to choose their front men. In the UK, The Iron Lady, similarly handicapped, did the job.
So Christie do what you can to organize and publicize a student loan strike. The politicians have discovered that it is a good sound bite, but they will do nothing until forced. Trump could forgive student loans by executive order before Biden. It would be smart to take that away as a campaign issue. The student loan debtors can take it away from both parties by going on strike. If that happens Wall Street will force the president to do it.
Biden has already stated that he will be looking forward, and not investigating any crimes by the Trump administration. The DLC is a partner of the GOP. It has no intention of stopping the GOP. Both have the same interests. Both are criminal.
If that is truly the case, then why are the rest of us required to follow laws and norms?
Can “the people” file class action lawsuits, or are these bums immune?
Because laws are for us peons. Everyone knows that.
It might be possible to file class action lawsuits, but they won’t get anywhere. We won’t have standing. Or we won’t be able to prove monetary loss. Or there will be an impassable legal tangle to force payment. Or the legal costs will exceed any possible winnings. Or …
If you’re right that pretty well tears it.
No ifs about it. I’ve had the misfortune to need help from the not-Justice system.
My most straightforward example is the time a probate judge ruled that he didn’t have jurisdiction over probate.