Quote:
Originally Posted by Bucco
First, be aware, the misinformation you speak of is the norm on this forum.
There actually is a group that openly hates facts.
Good news, FACTUALLY student loan default is down, and has been trending that way for some time. Hope that is correct information.
Student Loan Default Rate Continues to Decline
Problem, in my opinion is those loans taken in the past were great BUT what you can earn has not kept up with the cost of college costs.
Most don't think of debt as a bad thing (see US government), and I just read recently the default on car loans dwarfs default on college loans. |
I don't think it is appropriate to compare car loans to student loans. Car loans are private loans made by financial institutions and they are for profit, collateralized loans. Student loans do not have any any collateral, and, when they default, the taxpayer loses, not a financial institution. The total car loan debt is about 1.25 trillion dollars as compared to the student loan debt of 1.6 trillion dollars. But, I don't think the companies making car loans are losing money. The taxpayers making student loans are losing plenty of money because, from a financial standpoint, most of them are bad loans. This is an apples to oranges comparison.