No, Student Loan Cancellation will not Benefit the “Wealthy”

“The sample is too small, 30 percent of aggregate student debt is missing and not accounted for, the value of debt is frequently missing and statistically imputed”.

— Adam Looney

Source: National Bureau of Economic Research
Source: U.S. Department of Education (Q4 2020)
Source: U.S. Department of Education (Q4 2020)
Source: U.S. Department of Education (Q4 2020)

The beltway’s “regressive” argument falls apart in this more accurate context. Their definition of “wealthy”- which has nothing to do with net worth- is ridiculously ill-fitting to the borrowers who are being hurt. “Wealthy” people don’t struggle to repay their student loans into their 40’s, 50’s, and beyond.

Source: U.S. Department of Education (Q4 2020)

Adam Looney pointing to rare, young, high earning borrowers as representative of high earning, high balance student loan borrowers is misleading, intellectually dishonest, and frankly shameful. Looney and his like-minded colleagues in Washington D.C. ought to be held accountable for blatantly misleading the public and defending this predatory, nationally threatening loan program.

The lending system is finished, and no amount of beltway spin can make this not true.

--

--

--

I am Founder of StudentLoanJustice.Org, author of The Student Loan Scam (Beacon Press), and creator of the petition Change.Org/CancelStudentLoans

Love podcasts or audiobooks? Learn on the go with our new app.

Recommended from Medium

What are the negatives to filing bankruptcy?

Don’t Go Crazy and Broke while preparing Holiday Meals!

Biases in Action, or How to Lose Money Efficiently

Why it’s critical to Start Talking to your Lender During the COVID-19 Crisis

9 Ways to Improve Forecast — Musing Zebra

How to take a cash advance on a HSBC issued Best Buy Card?

Why investing in Emerging early stage funds might be more attractive than you think — The magic of…

Get the Medium app

A button that says 'Download on the App Store', and if clicked it will lead you to the iOS App store
A button that says 'Get it on, Google Play', and if clicked it will lead you to the Google Play store
Alan Collinge

Alan Collinge

I am Founder of StudentLoanJustice.Org, author of The Student Loan Scam (Beacon Press), and creator of the petition Change.Org/CancelStudentLoans

More from Medium

“Choo-Choo Charles” Delayed Until Late 2022

The Woke Person’s Guide to Offending Asians

Thank You, Karen Arnold

After 40 Days And 40 Nights, Amy Schneider’s Remarkable Winning Streak Ends