The Solutions to the Student Loan Crisis Don’t Require NASA

By Alan J. Yeck, Founder

At the end of the article he wrote last year, Daniel M. Johnson, What Will It Take to Solve the Student Loan Crisis? responded to the question about whether there is a solution to the student loan scam with “Maybe.” While his piece was focused on the cost of education, which is completely valid and must also be addressed, it is but one part of a solution. “But one thing has become increasingly clear: solutions to the high cost of higher education and the student loan crisis will not come from the higher education establishment.” I completely agree with Daniel on this point. Higher education administration has not focused on reducing costs in any meaningful way for decades. It does so when it’s forced to and it’s never about serving the students, which is why the expenses continue to rise and passed on to the students and their families. Containing costs at the institutions are one aspect of the student loan crisis but all roads lead to Washington D.C. We are in this mess because of legislation they passed, and continue to support, that generates money back to their own campaigns through Super PACs. Lasting solutions are there but it means our elected officials, House and Senate, will have to do the ethically, right thing. I want to believe that still exists in Congress but I am hard pressed to give an example. Blue and Red are equally dirty and corrupt. Joe DiMaggio has been gone for a long, long time.

Restore full bankruptcy rights to student loan borrowers

There was never a valid reason to criminalize student loans. When it was first enacted in the early 1970s, there was less than a 1% default rate, and it was out of concern for what Congress thought of as expensive degrees, specifically law and medical – that the lawyers and doctors wouldn’t pay back their loans. At that time the law was that student loans couldn’t be included in bankruptcy until 5 years after graduation. Over the next few decades, in combination with the increasing availability of federal loans and the explosion of the for-profit institutions, Congress continued to “tweak” the rules as the money flow also increased into their own pockets. Finally in 2005 only those who qualify under an ambiguous “undue hardship” which is determined by each and every individual court could student loans be included in bankruptcy (you have a better shot at winning the lottery than a judge with a backbone dismissing your student loan). Once that right was removed, the cost of education skyrocketed which in turn brought out the corporate shit-eating-dogs known as ‘loan servicers’ (Navient, et al).

Solving the student loan debt crisis isn’t like working on global warming, it really isn’t rocket science. A few hundred people that were elected to take care of the people can do it very quickly – a lasting solution can put in place in 2021 but they would have to stop taking the money. Well, hell…now that I think of it, I guess I’m going to stop and get a lottery ticket on the way home. You should too.

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#altraged #studentloandebt #corruption #bankruptcy #buisness #innovation #elections2020 #highered #leadership 

https://hbr.org/2019/09/what-will-it-take-to-solve-the-student-loan-crisis

Drug Use at the Department of Education: The Discretionary Income Formula

By Alan J. Yeck

The formula used to determine how much of your monthly income the student loan “servicers” will steal is based on a model where Department of Education, in cooperation with Congress, fed rats LSD over a 15 week period and then observed their movements in a standard 20-point maze. What occurred was nothing short of remarkable on a global scale. After the results were reviewed by no less than seven times by outside scientists it was determined that the Department of Education, in cooperation with Congress, were the ones actually ingesting the LSD and not the rats. This explains why the payback formula used by student loan “servicers”, aka Sallie Mae, Navient, Fedloan, Nelnet, et al is so fucking insane.  

This is directly from the Navient website –

Income-Based Repayment Plan (IBR)

“Your payments will be 15% (10% if you are a new borrower*) of your monthly discretionary income, the difference between your adjusted gross income and 150% of the poverty guideline for your family size and state of residence (other conditions apply) divided by 12.”

Clear? Maybe if you’re on acid.

Here is what the federal government considers as ‘discretionary’ income, meaning they will take 10-15% from your monthly income before these bills are paid:

  • Rent/Mortgage
  • Food
  • Utilities
  • Clothes
  • Trash pick-up
  • Phone
  • Internet
  • Car payment
  • Car insurance
  • Car fuel and maintenance
  • Dental/vision (deductibles if you’re lucky enough to have insurance)
  • Health insurance (deductibles if you’re lucky enough to have insurance)
  • Emergency savings (emergency trip for family emergency…transmission breaks…etc.)
  • Any kind of retirement savings
  • Pets (food, litter, veterinary – or do we just put the down?)
  • Children (costs associated with children and or child support)
    • Trying to help them with their college costs so they don’t get sucked in this black hole of despair.
  • Misc (expenses I just can’t think of now or that might be unique to your life

The student loan “servicers” will take all they want, after their big brother has taken their taxes, and whatever is left you have to figure out how to pay these normal bills of life. When the transmission goes, and you need your car to get to work, so you can get your pay, so you can pay the loan “servicers,” you have to fix it, right? Right. Since you have no savings you have to default on your student loans to get your car fixed…or to travel to a family funeral on the other side of the country…and another 1,000 unseen events that you need emergency savings for. Then begins the interest game, and capitalization of that interest on to the principal…months later when you’ve been “rehabilitated” (what a great word – so fitting of the debtors prison they have created) you will owe more than ever before with the same formula used to steal your life. Repeat. Repeat. Repeat. This is the LSD influenced system they built and what our politicians protect. In turn for their feigned ignorance and silence to the plight of student loan borrowers, they are given campaign kickbacks through Super PACs to ensure the status quo remains the status quo and we go on paying. Forever. This story is told by millions of Americans and is the biggest scam ever inflicted by the U.S. Government on it’s own people.

At 59, with my 29 year plan ($35k loan will then be $310k), there’s a good chance I’ll be dead before it’s paid off. At least that’s one thing to look forward to.

#corruption #studentloandebt #dirtypolitics #bidenharris #joebidden #trump #kami #highered #students #business #innovation #blm #womensrights #elizabethwarren

HAS ANYONE TESTED THE AIR IN D.C. FOR CHEMICALS THAT BLOCK NORMAL BRAIN FUNCTIONS?

Alan J. Yeck

The Strong Retirement Act of 2020 is a bipartisan bill proposed by Congressmen Kevin Brady, R-Texas and Richard Neal, D-Mass.  I want you to focus on the student debt part, they so kindly included. The bill would allow businesses to pay a 401(k) match to workers paying off student loans, even if those borrowers aren’t saving in the company retirement plan. In a summary of the bill, they state “The idea is that employees who are overwhelmed with student debt may not realistically be able to save for retirement, and thus are missing out on available matching contributions.”

What the WTF? So instead of addressing the multiple issues and corruption in the student loan industry, the source of the problem, they’re going to concentrate on the symptom of being “overwhelmed by student debt,” and let the company contribute to a 401(k) that I’m sure the government, via Navient, et al, will garnish later (if you weren’t aware our cowardly judicial system will enforce garnishments on wages, tax returns, social security payments to collect on student loans that were fraudulent to begin with).

Congressmen – listen to your own bill! “…employees who are overwhelmed with student debt may not realistically be able to save for retirement.” Why are they overwhelmed with student debt? Because of bogus efforts like this that do nothing to fix the student loan scam you (i.e. Congress) created for the American people. Holy shit. How crooked can our politicians be?

Two different people, two different parties, two different states. You know politicians don’t drink public water there so it has to be the air in those old buildings. They’re probably breathing in a mixture of their own hot rhetoric combined with skin microparticles from hundreds of years of old white men.  Their brains, and their souls, are gone.

#corruption #altraged #dirtypolitics #business #studentloandebt #highereducation #highereducationleadership #innovation #blm #womensrights

https://www.cnbc.com/2020/10/27/new-retirement-bill-has-perks-for-seniors-student-loan-borrowers-.html