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SW-User
It's probably different for different countries, but in mine the student loans are provided by the government and administered by the tax department and people are only required to make payments when their income exceeds around $57,000 per year. The payments are automatically deducted from a persons pay like tax is and the amount is a percentage of their income. So cancelling the debt doesn't seem necessary... here at least.
dancingtongue · 80-89, M
@SW-User A much more pragmatic and reasonable approach. Unfortunately here in the U.S. we took the usual path of privatizing most of it -- because government is evil, bad, corrupt, etc., etc., ad infinitium -- by the government only guaranteeing the loans to be given by banks. Most banks saw this as an opportunity to construct the loans with high interest rates and penalties kicking in as soon as the person graduates with the government becoming the collection agency -- because they are there to be the bad guy -- and not only the existing educational institutions but a whole new crop of instant for-profit training institutes popped up to do the banks recruiting of potential loan applicants, preying particularly on the disabled and those trying to get off welfare with all sorts of fraudulent "guarantees". It was the whole used car salesmen turned mortgage broker fiasco that led to the foreclosure crisis in housing markets a decade or so ago. We never learn that privatizing is inviting greater abuse from the greedy.

SW-User
@dancingtongue Wow, yes privatisation of everything is catching on here. Some sides of politics want to privatise our medical system too, but it seems every time something is privatised the service goes down as the prices go up as profit has to go to shareholders. This is tha last thing anyone needs when it comes to higher education. My niece finished a science degree but she developed a chronic disability and will never be able to work full time in her field. She will never have to repay her loan but imagine if a private company tried to bankrupt her to extract payment? I hope we never get to that.