Sunday, August 7, 2011

Student Lending Crisis - Reported 1 Year Ago

So this news report came out last year, and guess what? It's gotten so much worse! Outstanding student loan debt is now at $932 billion, and it just keeps going up and up and up. More people are screwed, like this man who decided to go back to school. What happened to him? He is no longer part of the middle class, and his disgusting student lender has refused to work with him. Sound familiar?!?

At one point the man said, "I was used to the good life . . . after this experience, I was just kinda . . . " he said, smiling weakly.


Nando said...

Cryn, I was talking to some people earlier today. One man mentioned how he is trying to go to community college. However, he is not eligible because he (allegedly) defaulted on a student loan in 1985.

He was indignant. "Who the hell keeps records from 26 years ago?!?! My ex-wife and I actually paid that off, in 1988. I remember paying off the full amount. It wasn't even supposed to go into default, because I was active-duty military at the time. Yet, now they are telling me that I am in default. I never received any notice of this until two weeks ago. When I mentioned this to them, the a-hole on the other line said, 'Well, our records show that you defaulted. If you pay us $2,500, you will be caught up.'

At this point, the guy said he reponded, "Would you like me to pull that out of my ass?!"

Aren't student loans grand?

Cryn Johannsen said...

Thanks for sharing that story. I have heard similar stories. You and I have heard such things over and over and over again, and yet most of our leaders avert their gaze and ignore us. We cannot continue to ignore this INSANE system. It's a crisis that is destroying people - how's that for the health of this country?!?

Nando said...

It is disgusting. Other student debtor advocates have also documented these horror stories. Yet, the corporate servants in Congress keep serving Mammon.

I keep records of everything related to my student debt, because I don't want the cockroaches at Nelnet or William Ford to claim that I owe them more money.

Anonymous said...

The clip ended with the reporter saying something about "negotiating" with student lenders.

But it is all one sided in favor of the lender.

"Negotiation" means more interest and bigger debt.

Oh Dear God. How did America end up this way?

I feel so lost.

Cryn Johannsen said...

We're all lost. That's why we need some leaders who will actually do something about this crisis, and NOW. Not tomorrow, but NOW.