Five years ago, I wrote a piece critical of the Obama administration’s takeover of the student loan program. It was a bad idea then, and a disaster today.
(Cartoon courtesy of Cagle.com)
In a sweeping move to cut commercial banks out of the federal loan market, Congress voted to establish still another bureaucracy, ending the 45-year old bank-based program. Huge savings were predicted by not paying the banks for their service.
Just as it was a political ploy by Democrats to gain favoritism among college age young people and their parents in 2010, it’s one of Hillary Clinton’s key topics as she seeks votes from millennials today.
With a goal of adding still another entitlement, Clinton has proposed methods for college students to reduce or write-off their student loans in a plan that she estimates will cost “just” $350 billion over the next 10 years.
We haven’t heard the last from the president on this subject either. You will recall his recent proposal of “free” community college. Surely, he has some other ideas up his sleeve. In anticipation of the loan-forgiveness talk, student loan payments are down.
Who do you think will pay in the end? You and me.
“The problem with socialism (liberalism and progressivism) is that you eventually run out of other people’s money.” – Margaret Thatcher
Parenthesis added to cover Hillary Clinton’s stated Democrat viewpoints.
