When things are investigated, knowledge is extended. When knowledge is extended, the will becomes sincere. When the will is sincere, the mind is correct. When the mind is correct, the self is cultivated. -- Confucius
Politically correct ideals are garbage: true wisdom comes from decades of deep thought and neutral observation. Only a so-called sociopath could ascertain wisdom from this crazy world in a neutral way. Cool thoughts- uncorrupted by modern politics, social norms, or societal ideals- are required for wisdom. Questioning everything, and going against the grain on all universally accepted norms is the path to true intelligence. The Gods notice this.

8/31/09

BEWARE STUDENT LOANS

On a regular basis, I hear of someone that is about to go to college, is going back to college, or else they are trying to talk me into going. Of course, it is everyone's dream to become a college graduate. It guarantees a well-paying career. And in the meantime, you become so darn smart, much smarter than the non-degreed world. Right?

Let me run a few examples by you, all true:

I went to college once, and on the loan form it said to calculate your expenses per semester and fill it in. That amount, if approved, would be loaned to you. I figured up 1858. So the student loan office at the school sent in for 929.- half what I needed. Much of this was for gas as I lived 45 miles from the school. When I discovered this, I asked them about it. They said that most people make a mistake and fill in a year's worth instead of one semester's worth of expenses, so they always cut it in half to correct it. I told them I read it carefully and did not make a mistake- I needed that much per semester. Their response was, and I quote: "oh well. It's too late now." So guess what- I ran out of gas money right before the first semester tests, and had to drop out. I told all of the teachers and the office people why. No one seemed concerned. After I started getting bills for it, I sent in a written request for review. It was completely ignored. I wrote a letter the next year- again ignored. It has been 20 years now, and I still get bills for it. Now they are for- let's see- I will open the one I got today- 2,261.48 . For a loan of 929. They kept my tax refunds- both state and federal- several years, at random times, but those amounts are never counted off of the balance. They just keep it and give you no credit for it. Why don't I make payments then? See the next part about my sister's experiences...

MY SISTER went to college a few times, and had loans to pay back. She made payments on one of them for a year. Then she checked the balance- it was the same! She had been paying the recommended payment, and it only covered the exorbitant interest! A year of monthly payments so the balance would be the same...So payments are not a good option. If you can't afford to pay it off all at once, you might as well just not pay it. Later on, she got a copy of her credit report, and discovered that there was an extra loan on there she had never borrowed. It said she borrowed it in 1979. She was 10 years old in 1979. She got out of that one, believe it or not, but why was it on there to start with? One can only wonder...

MY DAD went to college after becoming partially disabled. He later became totally disabled and got on social security. Several years after he had been on social security, the feds started garnishing his monthly checks without notice. They said it was to repay the student loan. He tried to call the social security people, and got the runaround. His letters were not answered. He finally had to hire a lawyer to help him get the garnishments stopped. There is a federal law that says if you are legally disabled, you do not have to repay school loans (a 'deferment'). They are to be written off. So why did they do it in the first place? And why did he have to get a lawyer to force them to comply with their own law? They didn't pay him back for over a year...

MY AUNT had also went to school and had later became disabled. She was also on disability. She was buying a house through a HUD loan, and had one payment left on it. Then guess what happened- they canceled her loan and mailed her an eviction notice. Reason: you can't get a government loan if you owe a student loan, so her entire HUD loan was invalid from the start. Why they didn't tell her this from the start, no one knew. Years of payments down the tubes; her house gone...

So, how great is it really to have to deal with this kind of crap from the govt. for the rest of your life? If you can afford to pay it off all at once, you would have just paid your way through college on your own to start with. And if you do manage to make payments once you get out of school, how long will that go on? Considering their interest rate, I would guess for many, many years.

The feds waste so much on on college-related administrative b.s. and wasteful programs, that if would scrap it all and start over, it would be cheaper to simply pay everyone's tuition and make it free. But that is too simple for them it seems. 

Once in awhile people say that things drop off of your credit reports after 10 years anyways. What they do not realize is that there is a special federal law that exempts student loans from this time limit. So they are on your credit forever. Bad credit means you can't buy anything on payments from anyone, ever. Just try getting a car, a house, even a dental or a veterinary payment account. The VAST majority of college graduates are in the same boat I am in. College was such a great fucking idea, huh? Screwed forever by loans you can never repay, and usually unable to get the job you dreamed of... all for that piece of paper ('degree') that really says: this is to certify that I fell into the Fool's trap of govt. debt....

As one wiseman once said...



(c) james platt

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