https://twitter.com/Jim_Jordan/status/1519310644239085569

https://www.congress.gov/bill/117th-congress/senate-bill/2598/text

Student Loan Bankruptcy - Is it coming?

The bill has been introduced and they did somethign similar a few years ago, I believe.

The market will sort out the details. No more $100K degrees for basket weaving, art history and women's or African American studies. Institutions will have to pay if more than 1/3 of their student body receives federal aid. HENCE, they have skin in the game.

Canceling student loan debt is stupid.

• Jim Jordan

Shown Here:

Introduced in Senate (08/04/2021)

Fostering Responsible Education Starts with Helping Students Through Accountability, Relief, and Taxpayer Protection Through Bankruptcy Act of 2021 or the FRESH START Through Bankruptcy Act

This bill revises the treatment of student loans in bankruptcy.

The bill makes federal student loan debt dischargeable in a bankruptcy proceeding ten years after the first loan payment is due, in addition to being dischargeable at any time in cases of undue hardship, as under current law.

Further, institutions of higher education that have at least one-third of their students receiving federal student loans must partially repay a student loan to the Department of Education if that loan is later discharged in bankruptcy. The amount the institution must repay is dependent on the institution's average rates of student loan default and repayment.

• • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • -

>>16164594

>>16164609

>>16164616

My five are still suspended…permanently

>>16164683

>so that makes a "fresh start" at 17 years or no

It's better than nothing. They fucked an entire generation and more with this sh*t.

guess who taped the plastic bag on peoples heads….

https://thehill.com/blogs/congress-blog/economy-budget/283625-how-the-clinton-administration-made-it-harder-on-student/

How the Clinton administration made it harder on student borrowers

BY JOHN MCMICKLE - 06/16/16 5:30 AM ET

In the late 1990s, the Clinton Administration spearheaded an effort to make it dramatically more difficult for Americans with student loans to obtain loan forgiveness in bankruptcy. With the recent jobs report indicating a tepid job market, employment prospects for recent college graduates with high levels of student debt would seem to be grim. It is perhaps time to revisit this mistaken Clinton-era policy.

To provide some context, it is worth noting that total there is more than $1 trillion dollars in student debt. There is some speculation that the student debt burden is so onerous that the housing market for first time homebuyers may not fully recover for an extended period of time. As a result of more recent changes to federal law, “the entire private student loan market is estimated to be $92.6 billion or 7.8 percent of the $1.18 trillion student loan market.”

Under bankruptcy law as it exists today, a borrower may “discharge” student loans if repayment would constitute “an undue hardship.” Prior to the legal change in 1998, student borrowers could also “discharge” student loans if the borrower had been in repayment for seven years, notwithstanding the undue hardship test. In 1998, without hearings and debate, Section 971 of the Higher Education Amendments of 1998, removed the seven-year legal test. When signing the bill 1998 bill into law, President Clinton issued a signing statement that asserted, “this bill represents a positive, bipartisan advancement for students, teachers, and the future of higher education.” In hindsight, the legislation appears to be less “positive” for students.

In recent years, there have been several Congressional proposals to make it easier to wipe out student debt through bankruptcy. Because most student loans today are federally backed in some fashion, many of these proposals could increase the federal deficit, which is perhaps one reason the proposals have not been enacted.

Strikingly, there are no proposals to reinstate the seven-year standard eliminated in 1998. If Congress were to resurrect the seven-year standard, there would be student debt relief in bankruptcy while not stimulating abuse or “moral hazard.” The seven-year period is simply too long to encourage gaming of the bankruptcy system. As a result, any potential revenue loss to the federal treasury would be mitigated. It is time to reverse this Clinton-era decision. Maintaining the status quo does not serve the interests of American students, recent graduates or the American economy as a whole.

Stephen Miller leaves out that "/Sarcasm" tag potentially sending blue check marks to a Zoom meeting with Jeffrey Toobin

I, for one, am enraged by the sinister

@elonmusk

plot to allow ordinary citizens—many without PHDs, let alone NYT subscriptions—to freely express themselves & question the unblemished wisdom of politicians, gov’t experts, even CEOs. This is the dark & dangerous road to democracy.

https://twitter.com/StephenM/status/1519313985350381576