Forgiving student debt is not enough

Forgiving student debt won’t solve the student debt problem.

Young people today are told they have no future unless they get college degrees, preferably from prestigious universities.

Colleges and universities jack up tuition rates, much of which go to pay for construction projects and administrators’ salaries, not instruction.

Few young people can afford to pay high tuition rates, but they can get student loans. 

The reason they can easily get student loans is because student loans are not dischargeable in bankruptcy.  Some people are retiring with their student loans unpaid.

Debt relief would be a good thing, but it does not fix the underlying problem.

The first step in breaking this up is to get rid of the idea that a college degree is necessary to obtain a good job.  There should be other ways, such as apprenticeships or demonstrations of skill, to show you are qualified.

Tuition at state universities should be free or affordable to all who are capable of doing college work, as it was when I went to college.  Community colleges should offer remedial education and vocational training at free or affordable rates.

Student loans should be dischargeable in bankruptcy, the same as other loans.  I’ve written about this before, but Matt Taibbi defined the situation very well.

LINK

Forgiving Student Debt Alone Won’t Fix the Crisis by Matt Taibbi for Rolling Stone.

Tags: Student loan debt