Patrice Lewis nails it at WND.com. And it only takes one easy step:
Consider these grim statistics:
- College tuition has increased by 1,180 percent since records began in 1978, while food costs have risen only 240 percent over the same period.
- Almost 40 million people have student loan debt, which is the only category of household debt that continued to rise during the recession.
- Fifteen percent of borrowers default within the first three years.
- The 90-day delinquency rate on student loan debt is 11.5 percent. This is higher than the delinquency rate for residential real estate loans (3 percent) and the credit card delinquency rate (7 percent).
- The amount of student debt issued and outstanding is now over $1.3 trillion. While 11.5 percent is in delinquency, about 50 percent of this debt is in some form of grace period or deferment. Loans in deferment are not part of the delinquency rate calculation. The true level of delinquency and technical default is probably somewhere in the 35-45 percent range.
- Since 2004, overall student loan debt increased by 325 percent, while all other categories of non-housing debt decreased by 5 percent. Over that time, the number of borrowers owing between $50,000 and $75,000 has doubled, and the number of borrowers owing more than $200,000 has tripled.
- The class of 2015 differs drastically from the class of 1993. In the early 1990s, fewer than half of students needed loans before they could walk across the stage to receive their diplomas. These loans averaged below $10,000 in constant dollars, which is about one-third of today’s average debt load.
- Student loan debt is much more difficult to repay when graduates cannot find jobs. Over 8 percent of graduates younger than 25 are unemployed, compared with 3 percent of graduates older than 25. Before the Great Recession hit, only 6 percent of recent college graduates were unemployed. Back during the last year of the Clinton administration, this number was just 4 percent.
- Almost 44 percent of recent college graduates are underemployed, compared with 34 percent in 2001. Over 115,000 janitors and a quarter of retail salespersons have college degrees.
The tragedy of student loan debt is how difficult it is for underemployed or unemployed college graduates to pay it back. It will likely take these over-educated waiters and baristas decades or even a lifetime to pay off the student loans they acquired in hot pursuit of a degree in fields of study where no one is hiring. This can literally ruin their lives, affecting plans to marry, buy a house, have children and achieving other milestones of adulthood.
On the heels of these depressing statistics comes this shocking news: Some states are implementing a policy requiring high-school students to fill out student aid forms to graduate.
Stop and think about that for a moment. No matter what a teenager’s future plans may entail – college, trade school, factory work, no further education, early marriage, whatever – they will not be permitted to graduate high school without filling in an application that would enable them to go into debt the moment they receive their diploma. And they can’t get their diploma without filling out that application.
“This is a mind-blowing event,” notes ZeroHedge. “Most jobs available to high school grads do not require a college degree. But some might require a high school diploma.”
Since when did a diploma stop being tied to academic performance and start being tied to a willingness to go into debt? Why are teenagers being denied their diploma unless they complete the necessary paperwork to financially enslave themselves to the government?
This is insane. “The student loan trap seems just like the housing trap used to be,” noted one glum slave. “They will give you as much as you will take. Why is this not illegal?”
Naturally, our government is taking note of the skyrocketing cost of college. The White House has a condescending page entitled “Making College Affordable” with these words of wisdom from Obama: “We will provide the support necessary for you to complete college and meet a new goal: by 2020, America will once again have the highest proportion of college graduates in the world.”
Yet the correlation between increasing college tuition costs and government involvement in the student loan industry is well-known. Once again, the government is purporting to “fix” a problem it created in the first place.
Why is Washington pushing student loans so hard? It’s no accident these loans are one of the few (if not the only) debts NOT discharged during bankruptcy. You can’t escape them. They are the collar of economic slavery.
It all comes down to money – and power. Student loan enslavement means the government has power over you for all of your future productive years.
What do I mean? How does an impossible-to-repay debt to the government help the government? After all, doesn’t the government “lose” that money if it isn’t repaid?
Remember, Washington has never worried about spending money it doesn’t have and has never produced. But think about it. Some evil supply-sider says that you have to repay your loan – a loan you can’t possibly repay without seriously degrading your lifestyle. But along comes a “caring” progressive politician who says that, if you will only vote for him, he might, just might, be able to get the government to forgive your loan … or at least defer your payments to, oh, let’s say, the next election.
Once more, the government steps in to fix a problem it created – and garners zombie voters in the process. Wheee!
Still think college is worth it? Think again.
This kind of enslavement isn’t necessary. Attending college is not mandatory, it’s voluntary. Since more and more people are realizing that many college degrees aren’t worth the paper they’re printed on, consider your future carefully before dedicating the next few decades toward paying off debt. Unless you plan to study a STEM field or something else requiring precise and specialized knowledge – or unless you have the financial wherewithal to attend college without incurring student loan debt – I would recommend steering clear of anything that will financially enslave you for decades to come.
Remember, it’s not a “loan” if you can’t pay it back. It’s a purchase. You’ve been bought.
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Copyright 2016 WND