I used my student loans for alcohol, weed, and blow; I deserved the insane interest and 8-9 years to pay it back.
Fair enough on that. I dunno. None of those should be viewed as an investment rather than a necessary step to get a desired career. Few people get the lucrative salaries, and then you factor in the time/energy/debt all those degrees require. Be better off (financially, maybe mentally) with a good bachelors degree tbh.
Yes. They were quite a bit but I am paying them off and got a degree that made it worth it. No, I do not feel bad for anyone that didnt make their time at a place of higher learning worth it.
or join the military and get it for free? you can hand most people a free education and it isnt going to make them smart or help them if they cant help themselves.
on brand for you to be empathetic towards a large number of people who need help without any thought on if it is actually helpful. Also this large number of people you wouldnt piss on if they were on fire because they didnt vote for biden or clinton.
I feel like a lot of folks don't understand how much this could affect people being able to qualify for a mortgage loan (either at all, or for a bigger one). As dblplay1212 has already mentioned, even if you aren't in repayment it could still affect your ability to qualify for a mortgage loan. I wanted to share verbatim the guides from each agency. If you want to know more about these guides, I've put them (and the direct links to their handbooks) in spoilers below. regarding Conventional (Fannie and Freddie), FHA, USDA, and VA. Conventional: Fannie Mae - from their selling guide Spoiler Student Loans If a monthly student loan payment is provided on the credit report, the lender may use that amount for qualifying purposes. If the credit report does not reflect the correct monthly payment, the lender may use the monthly payment that is on the student loan documentation (the most recent student loan statement) to qualify the borrower. If the credit report does not provide a monthly payment for the student loan, or if the credit report shows $0 as the monthly payment, the lender must determine the qualifying monthly payment using one of the options below. • If the borrower is on an income-driven payment plan, the lender may obtain student loan documentation to verify the actual monthly payment is $0. The lender may then qualify the borrower with a $0 payment. • For deferred loans or loans in forbearance, the lender may calculate - a payment equal to 1% of the outstanding student loan balance (even if this amount is lower than the actual fully amortizing payment), or - a fully amortizing payment using the documented loan repayment terms. https://singlefamily.fanniemae.com/media/24061/display go to page 538 of 1225 Freddie Mac - from their selling guide Spoiler (i) Student loans (A) Student loans in repayment, deferment or forbearance For student loans in repayment, deferment or forbearance: ■ If the monthly payment amount is greater than zero, use the monthly payment amount reported on the credit report or other file documentation, or ■ If the monthly payment amount reported on the credit report is zero, use 0.5% of the outstanding loan balance, as reported on the credit report https://guide.freddiemac.com/ci/okcsFattach/get/1002095_2 go to page 895 of 2259 Government loans FHA - from their 4000.1 Spoiler (H) Student Loans (TOTAL) (1) Definition Student Loan refers to liabilities incurred for educational purposes. (2) Standard The Mortgagee must include all Student Loans in the Borrower’s liabilities, regardless of the payment type or status of payments. (3) Required Documentation If the payment used for the monthly obligation is: • less than 1 percent of the outstanding balance reported on the Borrower’s credit report; and • less than the monthly payment reported on the Borrower’s credit report; the Mortgagee must obtain written documentation of the actual monthly payment, the payment status, and evidence of the outstanding balance and terms from the creditor. (4) Calculation of Monthly Obligation Regardless of the payment status, the Mortgagee must use either: • the greater of: o 1 percent of the outstanding balance on the loan; or o the monthly payment reported on the Borrower’s credit report; or • the actual documented payment, provided the payment will fully amortize the loan over its term. https://www.hud.gov/sites/dfiles/OCHCO/documents/4000.1hsgh_Update7.5.pdf go to page 217 of 1088 USDA - from their 3555-1 Spoiler Student loans Lenders must include the required payment as applicable: Fixed payment loans: A permanent amortized, fixed payment may be used in the debt ratio when the lender retains documentation to verify the payment is fixed, the interest rate is fixed, and the repayment term is fixed. The fixed payment will fully amortize/pay in full the debt at the end of the term. Non-Fixed payment loans: Payments for deferred loans, Income Based Repayment (IBR), Income Contingent (IC), Graduated, Adjustable, and other types of repayment agreements which are not fixed must use the greater of the following: 1. One half (.50) percent of the outstanding loan balance documented on the credit report or creditor verification, or 2. The current documented payment under the approved repayment plan with the creditor. Student loans in the applicant’s name alone but paid by another party remain the legal responsibility of the applicant. The applicable payment must be included in the monthly debts. Student loans in a “forgiveness” plan/program remain the legal responsibility of the applicant until they are released of liability from the creditor. The applicable payment must be included in the monthly debts. https://www.rd.usda.gov/files/hb-1-3555.pdf go to page 203 of 674 VA - from their lenders handbook Spoiler If the borrower(s) provides written evidence that the student loan debt will be deferred at least 12 months beyond the date of closing, a monthly payment does not need to be considered. If a student loan is in repayment, or scheduled to begin within 12 months from the date of VA loan closing, the lender must consider the anticipated monthly obligation in the loan analysis and utilize the payment established by calculating each loan at a rate of five percent of the outstanding balance divided by 12 months. Example: A borrower has a $25,000 student loan balance and you multiple it by 5%, which equals $1,250. This amount ($1,250) is divided by 12 months to equal a monthly payment of $104.17. If the payment(s) reported on the credit report for each student loan(s) is greater than the threshold payment calculation above in a above, the lender must use the payment recorded on the credit report. If the payment(s) reported on the credit report is less than the threshold payment calculation above, in order to count the lower payment, the loan file must contain a statement from the student loan servicer that reflects the actual loan terms and payment information for each student loan(s). The statement(s) must be dated within 60 days of VA loan closing, and may be an electronic copy from the student loan servicer’s website or a printed statement provided by the student loan servicer. It is the lender’s discretion as to whether the credit report should be supplemented with this information. https://www.benefits.va.gov/WARMS/docs/admin26/m26-07/Ch4_Underwriting_NEW.pdf go to page 42 of 72 This is probably way more information that most wanted, but I figured it may help some have a better understanding of how student loans (in repayment or deferment) could affect your ability to buy a home.
If loans are contracts between individuals and private companies, how could that be legislated away? How could a law be structured to "forgive" those debts, and why hasn't it been proposed yet given all of the discourse?
i've yet to figure out what this post even means we're saying loan forgiveness isn't helpful? the second sentence seems to be just online brain worms.
Until the boomer business owners stop requiring it for jobs then it remains true sadly. My wife and all of her family all only have associate degrees. They have no way to grow their careers and move up to management positions even though they are completely capable because their four years of college only resulted in a narrow associates instead of a bachelors.
It is still incredibly striking to me that, 8 pages in, the only harm that anybody has pointed to is inflation, for which there is no evidence. The rest of the complaining is either “it’s not faaaaaaaaaaiiiiiirrrrrrr because it doesn’t help me” or it doesn’t do enough, which are also both nonsense. To recap - cutting federal student loan debt via executive order: 1. Is fast 2. Is easy 3. Does a lot of good for a shitload of people, including a shitload of lower income people 4. Does a lot of good for the economy, because it gives shitloads of people actual buying power 5. Does zero harm
sure it is helpful to the individual but is it actually helpful to the world? I understand regretting majoring in sociology. Not societies problem, especially when people who couldnt even get an approved loan and out hauling a truck for a living. Pretty 'middle class privileged' to just expect a loan forgiveness. People get fucked over way harder than over paying for an education in something useless.
Had about $40k in student debt coming out of school. Sold my first house for a big profit (trendy neighborhood) and went ahead and bit the bullet and paid them off at that time. This was in 2017, before talk of federal student loan debt forgiveness seemed feasible.
so its not that it doesnt help people, its that you think its unfair ok cool, on brand take, just wasn't sure what your angle was since your previous post is incomprehensible
okay so just so we are clear I see people wishing death on people with covid because they are known trump supporters on this very board. I am sure people who think like this are eventually going to want to have oversight of who gets what government resource based on thinking like they think. Either care about people and want to help everyone or continue on some road to thought police.
everyone is except people who agree with you. you are right it is everyone else that is a caricature.
basically every person you cry about because they're lefty adjacent wants universal policies, so they want these people to have healthcare, have financial security, on and on thinking play stupid games win stupid prizes regarding disregarding science isn't incompatible with the previous view either, especially since they're endangering others with their stupidity
I like when I voice an opinion I am 'crying' about it, but when you voice an opinion it is the morally superior view and cant possibly be that you are wrong.
there's currently only one political party who is enacting policies based on harming those who didn't vote for them, weird we don't hear about this from the reactionaries
no idea what the substance was other than a general statement. I am not tone policing. Unlike some weird post-modernist I believe words matter. Sorry you are not concise with your speech?
Yes and based on my posting you know I totally agree with them too! There is just only one opinion on this board I get to argue with. Ever consider that?
"thought police" "post-modernist" we got ourselves a Shapiro or even deeper down the rabbit hole of right winger media acolytes on our hands on that note, we can go back to discussing loan forgiveness
Words matter but you already posted that everyone with student loans obviously majored in something worthless. Sure thing pal.
Please show me where I said this? I said I didnt feel bad for anyone that did do this. I never said obviously or everyone. You dont read and then interpret how you feel. Maybe your caricature is in your own head?
Picking to care now that policies might not be universal is giving away your point of view. The Trump adminstration was letting people die in blue states. Kushner said as much but loan forgiveness is where you draw the line. Loan forgiveness
to be 100% clear saying that due to a message board posters wanting karmic justice for morons means that in the future policies enacted by the government will be only beneficial to those who "think the right way" is an insane straw man, like cartoonish connections being made but continue trying to be a logic bro
You havent seen my opinion on any of that but you just align me with the trump adminstration and say I am drawing a line at loan forgiveness. Welp folks, we are done here!
The fact that no one knows your opinion about ignoring covod outbreaks in blue states but is now very familiar with your take on loan forgiveness is extremely telling.
you have thrown the 'logic bro' response at me before calling out argument flaws I have said. first of all apparently you dont know what a straw man is because what I said is a slippery slope and was an exagerration but sorry I dont want people who think like CaneKnight (first one that comes to mind) running government policy through their narrative.
oh wow you got me good on the grammar!!! yeah I said an example about sociology. I didnt say everyone or obviously. Thanks for proving my point weirdo!
You used the very tired rhetorical tactic of "well maybe you shouldn't have majored in underwater basket weaving" when talking about something that would cover literally everyone who has student loans. Be better.
Absolutely amazing to watch people whose formative years include (or just missed) the 08 crash post the most reductive boomer-level bullshit
I honestly cannot fathom that there are still this many people who think this is a bad idea or “how can we pay for it”. It makes zero sense.