You and others here with similar thoughts aren't necessarily wrong, but I've said this before and that is, cancelling student loans acts as a consumption multiplier. Someone paying a student loan off can put their money towards their student loan or buy more stuff. End of the day, no one cares how GDP rises only that it does.
There's other technical schools out there that did the exact same thing or worst...they just have not been caught yet or their financial records have not been made public after going out of business. Imagine if it was a car dealership that sold a bunch of lemons to their buyers and people were paying monthly payments and the buyers got their loans through the government whom were lied too also by the car dealership about the reliability of their cars... When the car dealership goes out of business...people shouldn't be require to keep paying for a useless car (a lemon). Shame on ITT Technical Institute for their predatory misinformation. wrbtrader
I disagree pretty strongly with this. If a bank gives an individual an auto loan, the individual should be required to pay the loan back. It doesn't really matter if the car was a lemon. If the car lot broke the law, the customer should seek restitution against them in court. I feel the same way about this issue. If ITT Tech defrauded their students, they should be forced to pay restitution, not the US taxpayer. Any debt held by the school should be discharged, but any debt held by outside entities shouldn't.
Some are seeking restitution against the school in court. I'm gonna guess its on the basis of the students being defrauded / false advertisement / predatory misinformation. Yet, I'm not sure whom holds the debt of the students...the school, government or outside entity. I would then assume its debt like any other school...most with the government, some with the school and others via an outside entity. Those that were repaying on a personal loan (educational purposes)...they're the ones really screwed because they essentially purchased something on a loan that turned out to be a lemon and the business then goes out of business (closes shop)...those personal loans for education purposes must still be repaid. wrbtrader
I agree with you. I feel bad for the people that got screwed over. Hopefully the school isn't completely broke and the court system will hold them responsible. They're the ones that should be paying the bill.
Opinion Student Loans. Medical Debt. Criminal Justice Fees. Cancel It All. https://www.nytimes.com/2021/07/02/...l?action=click&module=Opinion&pgtype=Homepage
Good points. And for desert that limitation of 500k max cap being paid out, if person spend years in prison while innocent. 25k per year, but no more than 500k in total, tho, some folk spend 40~ years in jail. A life lost. Stolen more likely. And a price tag on ones life time. 500k. Word.
ITT is defunct under chapter 7. So yeah while theoretically they should be responsible, you can't squeeze blood out of a turnip. What we really should do is set up funds that these type of organizations have to pay into like the national pollution fund for industrial companies which pays out when one goes bankrupt and leaves a mess.