Forgiving Student Debt/Stupidity

 I could make this a 200-page book, but I'll try to limit this discussion to 50 lines.

Up until the 1980s....if you went to college....it was typically 'cheap-enough' (a catch phrase)...that you could pay via the parent's marginal contribution, do some work on the side, and not borrow from anyone.  

Something clicked in the 1980s, and escalation of college tuition/room and board....went up.  Dad's contribution and work on the side didn't cut it at half of the colleges in the US.  Add onto it....kids got stupid and didn't realize that being 'out-of-state'....meant that you paid 20-percent on top of what the in-state kid was paying.

So kids started to borrow via commercial and government groups.  In the beginning....over a four-year period, you could be talking about $20k.  Most could pay this back over a five to eight year period.

Year by year....colleges escalated the cost.  You can ask financial experts, state political folks, and journalists to explain this part of the story.  Usually, they can't really lay this down in any simple fashion.

As the 1990s came....degrees and study areas went into some type of tailspin.  People were designing a four-year program where the degree you exited with....wasn't going to ever pay you more than $25k a year (1990s scale).  

In the past ten years, it's now possible for you to attend the William and Mary University in Virginia....and pay near $23k on tuition alone.  Add in books, expenses and room/board....it's up over $140k for four years.

If you graduate with a marginalized degree, and your starting pay level is $35k?  You won't finish paying off the loan until age 60.

So enter the Biden crew.  They want to create some path where part of the debt is forgiven.  No one say how much, if it might be yearly, or the total cost package for the tax-payer.

Massive anger brewing in the non-college idiot group....that they'd pay for this debt deal?  Yes, and it'll be openly discussed next spring as people fuss how you could be this stupid to borrow $100k and your salary will never be enough to resolve your mess.

What I suspect will happen?  I think the Senators will rig up a deal that for each thousand you put down....another thousand will be forgiven (maybe up to $4k a year).  Someone might add wording to say it's a ten-year deal....meaning $40k might be free.

A lawsuit to brew out of this?  No doubt....it'll be taken to the court as a unfair situation for non-college folks.

Just free money?  It'll take an hour for people to figure out....why not go over to the government idiots, and borrow $60k to pretend you are going to college.  Then just invest it, and do the payment deal....paying back the money over ten years....getting $40k free of charge from the government.  

Illegal?  It'll take five years for them to figure out this game.  

So my advice...once the smoke clears and they establish the 'free money' routine...analyze your path and see if it'd make sense to go ask for $40k in student loans (for investment purposes, purchase of a RV/boat, etc).  If they are going to rig this for $4k a year in free credit (maybe even via your taxes)....the 'fake' loan would easily pay you back over a ten-year period.

We could all take some 'free money' and give thanks to the stupid college kids for creating this new avenue of 'free cash'.