Fox News is reporting Mick Mulvaney, the Director of the Office of Management and Budget and Consumer Financial Protection Bureau says the government has no plan they to provide relief to students by forgiving their student loan debt.
I guess you can forget any chance at general bankruptcy relief under Trump.
“We would like people to repay their debts,” Mulvaney said. “We think that’s a fair thing to do.” – Source
With student loan debt dragging down many segments of the population, the $1.53 trillion dollars owed in student loan debt is just the fault of the consumer I guess the position is.
Now it might be one argument to say people should pay it back but a big part of the problem here is the government is the one not taking appropriate action to protect borrowers from fraud and abuse by for-profit schools that are encouraging borrowing.
Essentially the government is passing out the money and then bitching because people borrowed it and can’t pay it back.
Mulvaney said, “Face it: If you’re borrowing money right now to go to school, you’re borrowing from the taxpayers.” He also said, “And if you ask for loan forgiveness, what that really means is you want other taxpayers to give you money to go to school and that’s not part of our program.”
What if you just want your tax dollars to protect students from fraud and abuse by institutions that put them in debt without providing the promised education or employment assistance? Is that part of any program given that the CFPB under Mulvaney has taken a hands-off schools approach?