Will the next President fix our school loan system?

The following picture is a flashback…This is after shooting a few scenes in a Phoenix area TV studio. It happened as I was walking from one editing booth to another, and I just happened to walk right into a sliding glass door. The glass shattered, cutting four-tendons on my left hand.

This was just one of many fiasco’s that I endured while attending Scottsdale Community College. That place was a nightmare.
For example, the film department-head told us many times that we had to suffer through the small classroom size and editing rooms. BUT she never, ever let on that the film-department was being expanded into a full-size studio in the next year. (They built it during summer just after I graduated. – Damn!)

Now, what I have today is an enormous school loan debt. It was a simple Stafford Loan. Guaranteed by the Government. As it turns out, the guarantee has nothing to do with the Government regulating how the loan is administrated. No, the only guarantee is that the student (in need) will get the loan. And what does this say about the student loan system? Does it sound like an environment prime for predatory loan practices?

The loan that I received sure did bite me in the arse. And I’m quite sure that it has not improved much because I continue to hear horror stories from students who were desperate for school-money. Like me, they trusted that when their government says it “guarantees” a loan, that it surely must be an arrangement that is honest.

Let’s look at the banks angle. What savvy lender wouldn’t do this deal? Once you, the student accepts the loan, then there’s no negotiation with the lender. The borrower can’t claim bankruptcy — nope, that will not get you out of a public-school-loan like the Stafford.

And here’s the killer. If the bank decides to sell the loan, then it gets capitalized. And that’s to the lender’s advantage you see, because they get to amortize the debt.

And I should know, because my school loan was SOLD and then CAPITALIZED (3) times. And now the new (4rth) owner of the loan is threatening to do it again. The amount I now owe is TRIPLE the amount of the original loan. Do you have any idea how oppressive this dollar amount is? Let’s just say that I can’t afford to pay it off, and it’s so incredibly large that I’m too embarrassed to quote the sum.

Will the next President’s Administration take the power away from the Student Loan companies and give people a fighting chance to repair their credit? I don’t know. I do know that Sanders talked about doing something about it, and so did Elizabeth Warren. However, I think what they promised were free or low cost tuition programs for new students.

I don’t know if anyone in the States has a plan to address the problem that I and so many former students are suffering from. How about Joe Biden — do you think that he will help? Let us pray. Or even better yet — let’s come together and fight this thing.

Let’s start a petition or movement to get our Governor’s and Senator’s working on a fix. Care to join me? Please comment, share or write me care of my FB page: Facebook.com/DeanLach — Cheers to ya. (c) Dean Lachiusa

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