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 Post subject: BOYCOTT COLLEGE LOANS - THE PROGRAM STUDENTS CANNOT AFFORD
PostPosted: Fri Dec 13, 2013 9:34 am 
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Is a College Degree Worth Enormous Debt In A Terrible USA Job Market

Were there any regulators on duty between 2001 and 2008? Our student population has been getting ripped unbeknownst to them. In essence victims of some whopping money making schemes involving
both educational and financial institutions so I speculate. During the same period as the home loan debacle.

How did college become so expensive?

Read more: http://www.rollingstone.com/politics/ne ... z2mhgJtRq2

The Scam Wall Street Learned From the Mafia - Why was college so expensive?

Tuition costs at public and private colleges were, are and have been rising faster than just about anything in American society – health care, energy, even housing. Between 1950 and 1970, sending a kid to a public university cost about four percent of an American family's annual income. Forty years later, in 2010, it accounted for 11 percent. Moody's released statistics showing tuition and fees rising 300 percent versus the Consumer Price Index between 1990 and 2011.

After the mortgage crash of 2008, for instance, many states pushed through deep cuts to their higher-education systems, but all that did was motivate schools to raise tuition prices and seek to recoup lost state subsidies in the form of more federal-loan money. The one thing they didn't do was cut costs. "College spending has been going up at the same time as prices have been going up," says Kevin Carey of the nonpartisan New America Foundation.
This is why the issue of student-loan interest rates pales in comparison with the larger problem of how anyone can repay such a huge debt – the average student now leaves school owing $27,000 – by entering an economy sluggishly jogging uphill at a fraction of the speed of climbing education costs. "It's the unending, gratuitous, punitive increase in prices that is driving all of this," says Carey.

http://www.rollingstone.com/politics/ne ... l-20130815


Last edited by Merrill on Wed Sep 17, 2014 7:10 pm, edited 4 times in total.

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 Post subject: Re: Student Loan Scams =Scam Wall Street Learned From the Mafia
PostPosted: Fri Dec 13, 2013 9:35 am 
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The Biggest Price-Fixing Scandal Ever

How is this happening? It's complicated. But throw off the mystery and what you'll uncover is a shameful and oppressive outrage that for years now has been systematically perpetrated against a generation of young adults. For this story, I interviewed people who developed crippling mental and physical conditions, who considered suicide, who had to give up hope of having children, who were forced to leave the country, or who even entered a life of crime because of their student debts.

They all take responsibility for their own mistakes. They know they didn't arrive at gorgeous campuses for four golden years of boozing, balling and bong hits by way of anybody's cattle car. But they're angry, too, and they should be. Because the underlying cause of all that later-life distress and heartache – the reason they carry such crushing, life-alteringly huge college debt – is that our university-tuition system really is exploitative and unfair, designed primarily to benefit two major actors.

First in line are the colleges and universities, and the contractors who build their extravagant athletic complexes, hotel-like dormitories and God knows what other campus embellishments. For these little regional economic empires, the federal student-loan system is essentially a massive and ongoing government subsidy, once funded mostly by emotionally vulnerable parents, but now increasingly paid for in the form of federally backed loans to a political constituency – low- and middle-income students – that has virtually no lobby in Washington.

Next up is the government itself. While it's not commonly discussed on the Hill, the government actually stands to make an enormous profit on the president's new federal student-loan system, an estimated $184 billion over 10 years, a boondoggle paid for by hyperinflated tuition costs and fueled by a government-sponsored predatory-lending program that makes even the most ruthless private credit-card company seem like a "Save the Panda" charity. Why is this happening? The answer lies in a sociopathic marriage of private-sector greed and government force that will make you shake your head in wonder at the way modern America sucks blood out of its young.

In the early 2000s, a thirtysomething scientist named Alan Collinge seemed to be going places. He had graduated from USC in 1999 with a degree in aerospace engineering and landed a research job at Caltech. Then he made a mistake: He asked for a raise, didn't get it, lost his job and soon found himself underemployed and with no way to repay the roughly $38,000 in loans he'd taken out to get his degree.

Collinge's creditor, Sallie Mae, which originally had been a quasi-public institution but, in the late Nineties, had begun transforming into a wholly private lender, didn't answer his requests for a forbearance or a restructuring. So in 2001, he went into default. Soon enough, his original $38,000 loan had ballooned to more than $100,000 in debt, thanks to fees, penalties and accrued interest. He had a job as a military contractor, but he lost it when his employer ran a credit check on him. His whole life was now about his student debt.

Read more: http://www.rollingstone.com/politics/ne ... z2nMjSfvEc
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 Post subject: Re: Student Loans - The Biggest Price-Fixing Scandal Ever
PostPosted: Sat Dec 14, 2013 6:45 pm 
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The Subprime Student Loan Racket

With help from Washington, the for-profit college industry is loading up millions of low-income students with debt they'll never pay off.

Only later did she learn that those private loans—which made up 42 percent of her “financial aid” package—carried double-digit interest rates and other onerous terms*.

To make matters worse, the program did not come close to delivering on the promises that had been made. The instructors had little recent medical experience. Instead of really teaching, she says, they usually just read textbooks aloud in class and sometimes offered students the answers on tests ahead of time. On the rare occasions when Leveque and her class were given time in the lab, she found that the equipment was broken down and shoddy—except for the expensive new mannequin, which no one knew how to use. Instead of the promised rotations at UCLA Medical Center, her clinical training consisted of helping pass out pills at a nursing home. (A spokeswoman for Corinthian Colleges denied many of Leveque’s allegations, insisting that the company does not condone cheating, that all LVN instructors at Everest College have “at least the minimum qualifications” set by the California Board of Vocational Nursing, and that UCLA Medical Center “is not and has never been” one of the school’s official clinical training sites.)

Since graduating in 2008, Leveque has been unable to find a nursing job, perhaps because she never learned how to perform basic tasks such as giving shots. Instead, she works as an occasional home health care aid earning at the most $1,200 a month—not enough to pay her rent on the cramped apartment she shares with her sister and son or keep gas in her car, much less pay off her student loans. As a result, her loan balance has ballooned to approximately $32,000, and she has no idea how she will ever pay it off*. “My credit is ruined,” Leveque says. “I made one mistake, and I will be paying for it for the rest of my life.”

Leveque’s story is far from unique.

Each year, more than two million Americans enroll in for-profit colleges, also known as proprietary schools, and their popularity has only grown since the financial crisis.


http://www.washingtonmonthly.com/featur ... .burd.html


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 Post subject: Re: Student Loans - The Biggest Price-Fixing Scandal Ever
PostPosted: Thu Dec 26, 2013 11:37 am 
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Time to start prosecuting and students receiving a minimum of 50% - 60% forgiveness.

In the last 30 years the cost of higher education has increased 400%. How many are on the take?

What's missing are USA jobs as the icing on the cake.


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 Post subject: Re: Student Loans - The Biggest Price-Fixing Scandal Ever
PostPosted: Sat Feb 01, 2014 6:52 pm 
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http://www.motherjones.com/search/apach ... ge%20loans

10 Ridiculous Perks Given to College Presidents and Celebrity Profs
and extra compensation. Its good to be a college president (or General Petraeus). 10 ridiculous perks given to college presidents and celebrity profs ... At a time when college students are struggling to keep up with skyrocketing tuition and debt, faculty ...

Jaeah Lee and Maggie Severns - Sep 5, 2013
For-Profit College Loan Fail
that for-profit college graduates earn enough to repay their federal loans, or else the schools could lose access ... to survive. Most colleges receive 75 percent of more of their revenue in federal loan funding; at others, like ... colleges default on their federal loans each year, how well is that government money being spent? Thats ...

Andy Kroll - Dec 22, 2010
All This and College Loans Too
Reforming the college loan gravy train is a pretty ... Congress voted Thursday to force commercial banks out of the federal student loan market, cutting off ... of the money to new education initiatives. ....Since the bank-based loan program began in 1965, commercial ...

Kevin Drum - Mar 25, 2010
Screw U: How For-Profit Colleges Rip You Off
colleges take out loans. 13% of community college students, 48% of public college students, ... colleges receive more than 85% of their revenue from federal student loans and aid. 42% of students attending for-profit two-year colleges take out private student loans. 5% of students ...

Yasmeen Qureshi, Sarah Gross, and Lisa Desai - Jan 31, 2014
How College Pricing Is Like Holiday Retail Sales
Colleges offer high sticker prices but plentiful ... How college pricing is like holiday retail sales ... but universities in many ways have been working from the same playbook. Savvier college-bound consumers know ...

—By Marian Wang, ProPublica - Jan 3, 2014
The Student Loan Debt Crisis in 9 Charts
most students take out new loans for college in August, Congress will have a window to fix the loan ... The rising price of college has contributed to overall student loan debt, but so has the fact that more students are attending college. As more students attend college, theyre taking out more loans — ...

Maggie Severns - Jun 5, 2013
Chart of the Day: The Job Market For College Grads is Tougher Than Ever
non-college jobs than there used to be. Chart of the day: The job market for college grads is tougher than ever ... from the New York Fed offers a grim take on the job prospects of recent college grads. It finds ...

Kevin Drum - Jan 15, 2014
Chart of the Day: Student Loan Debt Crowding Out Mortgages
A new report from the New York Fed describes a disturbing trend: student loan debt has increased so much that its crowding out the ability of college graduates to buy homes. As the chart on the right shows, young workers with student loan debt—most of whom are college grads—used to take on mortgage debt ...

Kevin Drum - May 10, 2013
Charts: Shocking Stats on College Costs
and public colleges climbed steadily over the last decade: Tuition, 2000-2009 (in thousands) ... vs. Shopping In 2010, for the first time ever, Americans outstanding student loans exceeded their total credit card debt: Sources: College Board; Mark Kantrowitz, Fastweb.com ...

Sep 15, 2011
Chart of the Day: Student Loan Debt Is Skyrocketing
Youve probably seen this chart before, but its worth seeing again: Student loan debt is just flatly out ... of going to college, and for those who do, were forcing them to start out their lives living under ... college education when we were young, and were getting good retirement benefits now that were old. ...

http://www.motherjones.com/search/apach ... ge%20loans

Kevin Drum - Jun 5, 2013
Report: Most Tax-Based College Aid Goes to the Least Needy Families
government helps to make college affordable in a number of ways, from low-interest student loans to grants ... code, by way of such things as 529 tax-free college savings plans and exemptions for loan interest ... Tax deductions for college costs overwhelmingly ...

Stephanie Mencimer - Dec 10, 2013
"This Is Morally Wrong": Watch Elizabeth Warren on GOP and Student Loans
banks with nearly free loans, while we crush our kids who are trying to get an education? ... on their student loan debt. Student loan interest rates are set to double from 3.4 percent to 6.8 percent ... on federal loans for needy students to near zero for a year, and Sens. Jack Reed (D-RI), and Tom Harkin ...

Erika Eichelberger - Jun 7, 2013
Student Loan Debt Is a Beast. Here Are Elizabeth Warren's, President Obama's, and the GOP's Plans to Fix It.
to college has spiked 440 percent . Since 2004, student loan debt in this country has tripled, and now ... If youre one of the 37 million Americans with student loan debt, youre in for a real treat come July 1. Thats when interest rates on federal student loans are set to rise to 6.8 percent—double ...

Erika Eichelberger, Maggie Severns, and Brett Brownell - Jun 3, 2013
Could This 2013 Nobel Laureate Afford College Today?
Could this 2013 Nobel laureate afford college today? ... college education was unimaginably cheap. Student fees were just a few hundred dollars; room and board ... to other cells—a process fundamental to cellular communication. Schekmans college experience at UCLA, ...

Chris Mooney and Indre Viskontas - Oct 10, 2013
Charts: When College Presidents Are Paid Like CEOs
but a few colleges have taken to forgiving those mortgages, essentially turning a loan into a cash ... Theres one notable exception to this trend: Pay (and perks) for college presidents is on the rise. ... look very good. Read a list of the 10 most ridiculous perks given to college presidents ...

Jaeah Lee and Maggie Severns - Sep 5, 2013
Here's Obama's Plan to Make College More Affordable
that students at highly rated colleges might get larger federal grants and more affordable loans. But that would ... President Obama laid out a new plan today to make college more affordable: A draft of the proposal, obtained by The New York Times and likely to cause some consternation among colleges, shows ...

Kevin Drum - Aug 22, 2013
Charts: How Big Debt on Campus Is Threatening Higher Ed
student debt burdens are making it harder for recent college graduates to get home loans, according ... The explosion of college tuition and student debt is leaving more grads with big bills and doubts about their futures. Some back-to-school stats: 1. College costs a lot more than it used to. The good ...

Dave Gilson and Maggie Severns - Sep 3, 2013
Student Occupiers: It's the Debt, Stupid

No wonder college kids are preoccupied. Kiera Butler College ... on campuses. Just check out these stats: Unemployment among college grads is twice what it was in 2007 . ...
Kiera Butler - Nov 23, 2011

Grieving Father Struggles to Pay Dead Son’s Student Loans
loans. And Berklee College of Music, Freddys alma mater, was one of the schools singled out ... has been compounded by their need to pay off his massive student loans ... to go to college. In 2005, after Freddy was accepted to Bostons Berklee College of Music, his father ...
Marian Wang - Jun 18, 2012

Student Loan Reform 101
at the eleventh hour, means for college kids. ... The rest of the 2010 MoJo Mini College Guide , plus the 2009 MoJo Mini College Guide. Congress reformed more than just health care this year. Below, four ...
Jessica Calefati, Andy Kroll, and Kiera Butler - September/October 2010 Issue

http://www.motherjones.com/search/apach ... ge%20loans


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 Post subject: Re: Student Loans - The Biggest Price-Fixing Scandal Ever
PostPosted: Fri Mar 14, 2014 8:48 am 
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A new report from the New York Fed offers a grim take on the job prospects of recent college grads. It finds that underemployment (i.e., working at a job that doesn't require a college degree) has averaged around 40 percent for the past two decades, going down a bit during economic expansions and up a bit during recessions.

But if the rate of underemployment itself hasn't changed very much, the nature of underemployment sure has. It's gotten worse. Take a look at the thick lines in the chart on the right. They show what happens to recent college grads who can't get college-level jobs. The number who get good non-college jobs has plummeted from 50 percent to 35 percent. The number in low-wage jobs has risen from 15 percent to 20 percent. And needless to say, these grads also have quite a bit more student loan debt than grads from the early 90s.

Getting a college degree is still worth it. But there's not much question that today's college grads have it tougher than previous generations did. And the 40 percent who don't find good jobs have it the toughest of all.

http://www.motherjones.com/kevin-drum/2 ... ugher-ever

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 Post subject: Re: Are 4 year Degrees Worth Enormous Debt aka Loan Scams
PostPosted: Sun Mar 16, 2014 8:47 pm 
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Is a College Degree Worth Enormous Debt In A Terrible USA Job Market???


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 Post subject: Re: Are 4 year Degrees Worth Enormous Debt = Student Loan Scams
PostPosted: Wed Sep 17, 2014 10:50 am 
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College Inc

The business of higher education is booming. It's a $400 billion industry fueled by taxpayer money. But what are students getting out of the deal? Critics say a worthless degree and a mountain of debt. Investors insist they're innovators, widening access to education.

There are people making mountains of profit off the backs of students that can never pay this back. It is clearly white collar crime on a scale much larger than both GOP
home loan fraud escapades.

http://video.pbs.org/video/1485280975/


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 Post subject: Re: BOYCOTT COLLEGE LOANS - THE PROGRAM STUDENTS CANNOT AFFORD
PostPosted: Wed Sep 17, 2014 7:42 pm 
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It's not the banks that will be the big losers if the bubble bursts. It's the taxpayers, because the government is now on the hook for the majority of student loans.

Even worse is the burden on students. The debt requires students to keep paying for a product that lacks its advertised value either in education or employment opportunities. College education has been
dumbed down to enroll more and more taxpayer-subsidized students, even if they take only remedial (aka high school) courses.

College-loan debt is a powerful deterrent to marriage and to getting on with life. Students cannot discharge the debt in bankruptcy, can't get a job that justifies the loan and may have had a lousy education.

For years we've heard the propaganda line that everyone should go to college and that a college degree will improve your status in life and standard of living. Not any more.


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 Post subject: Re: BOYCOTT COLLEGE LOANS - THE PROGRAM STUDENTS CANNOT AFFORD
PostPosted: Wed Sep 24, 2014 12:22 pm 
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Just out of curiosity... do you have a college degree?

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 Post subject: Re: BOYCOTT COLLEGE LOANS - THE PROGRAM STUDENTS CANNOT AFFORD
PostPosted: Fri Oct 03, 2014 10:41 pm 
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After graduating from high school my best friend Michaela and I visited our friend Omega in Chihuahua Mexico for the summer where we rode Mexican race horses, had a shrine built in our honor when our visit coincided with much needed rain, and where I got deathly ill from food-poisoning.

I attended the University of Alaska Anchorage where I earned a BFA in printmaking with a secondary emphasis in oil painting. My first choice was Skidmore in Saratoga Springs NY but even with a 50% scholarship I couldn’t afford the tuition. I often wonder how my life would be different today if I had stayed on at Skidmore, where I attended an AP art program when I was 18.

My middle toe is as long as my big toe.


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 Post subject: Re: BOYCOTT COLLEGE LOANS - THE PROGRAM STUDENTS CANNOT AFFORD
PostPosted: Mon Aug 17, 2015 3:12 pm 
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Educational debt has become a ticking time bomb. With over $1 trillion in outstanding loan balances, the student loan industry has a lot in common with the sub-prime mortgage industry, which went into a devastating crisis in 2007-8. Both rely on a financial innovation called “asset-backed securitization” (see sidebar below) to raise capital and to hedge risk—in other words, to raise money for loans and to reduce the likelihood that investors will lose their money.

Student loans asset-backed securitization—or SLABS—means student loan agencies package student debts and sell them to investors who expect to get their money back, plus interest, as students pay back their loans. In theory, selling off nicely bundled packages of debt to investors allows these institutions to turn around more quickly and make new loans. For this reason, SLABS is touted as the main channel through which the lending industry moves funds from investors to students—and so is supposed to be of mutual benefit to students, lenders, and institutional investors such as hedge funds and pension funds.

For more on educational debt, see Christopher Cooper, The Corinthian Crisis.
Like the sub-prime housing industry, however, SLABS ultimately depends on the ability of borrowers to meet their debt obligations. Herein lies the rub. Since as far back as the recession of 2001, the majority of student debtors have not been able to get decent paying jobs upon leaving college.



http://www.dollarsandsense.org/archives ... rberg.html


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