Tuesday, November 1, 2011

Living on a loan....

Something that I'm not sure I've seen in the discussion of the Occupiers and their issues with student loans is the fact that many students use their student loans for far more than their college expenses:  tuition, fees, books, room and board (if they live on campus).  When they apply for student loans they are, in some cases, encouraged to include expenses above and beyond those needed for their education.  It is bandied about that it is too difficult to work while they are pursuing their educational dream so they need to apply for enough money to cover their other expenses--gas, food, rent, credit cards.  The university takes their cut first and anything left over goes to the student to use as they will.  They are choosing to live a higher lifestyle in the easiest short-term manner.

So all of this boils down to a bunch of people living on government-guaranteed credit that they are unwilling or are unable to repay.  The Occupiers are those people.  At this point it's no different than if they wanted their credit card debt to be forgiven.  Same issue, different lender.

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