Smart Borrower Blog

Archive for the ‘Student Loan Consolidation’ Category

The Need for Student Loan Consumer Protections

The federal student loan system has become fundamentally predatory due to the Congressional removal of standard consumer protections, combined with Congressionally-sanctioned collection powers that are stronger than those associated with all other loan instruments in our nation’s history. These actions by Congress have, predictably, created an inherently predatory, state-sponsored lending and collection system where the motivations of the various functional elements of the system are fatally misdirected. The system promotes inefficiency in administration, unchecked inflation, bureaucratic malaise and conflicted oversight. Moreover, the resulting set up also promotes needless and expensive complexity and redundancies, fails to encourage academic excellence, and ultimately,... more »

Student Loan Forgiveness on the Chopping Block

An article in the New York Times  today put fear into the hearts of many people trying to get their student loans forgiven. Basically all across the nation, programs designed to entice people into low-paying but very important jobs like teaching and community health are being cut or reduced due to the current volatile economy and less government aid. The Times quoted Tracey L. Bailey, director of eduction policy for the Association of American Educators: “You’re going to diminish the quality of the candidates who are thinking, ‘Do I take my skills in math and science into industry or do I... more »