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79
Misc
2025 Apr 6, 1:56am
Not as much of that decrease in yield is because of lowering inflation expectations as you'd think, but there is some.
As part of the corrupt Biden administration's policy of throwing gold bars off the Titanic, the Treasury Department was issuing large amounts of long dated bonds near the end of its rule. This drove up the after inflation yield of those bonds.
The treasonous Janet Yellen was thereby able to land a multi-million dollar gig at PIMCO. The press doesn't really say which financial institutions the other culprits were afforded plump jobs at. I assume they were richly rewarded for their treachery.
As part of the corrupt Biden administration's policy of throwing gold bars off the Titanic, the Treasury Department was issuing large amounts of long dated bonds near the end of its rule. This drove up the after inflation yield of those bonds.
The treasonous Janet Yellen was thereby able to land a multi-million dollar gig at PIMCO. The press doesn't really say which financial institutions the other culprits were afforded plump jobs at. I assume they were richly rewarded for their treachery.
80
Al_Sharpton_for_President
2025 Apr 21, 1:28pm
Al_Sharpton_for_President
2025 Apr 21, 1:28pm
U.S. Department of Education to Begin Federal Student Loan Collections, Other Actions to Help Borrowers Get Back into Repayment
Collections to Restart May 5th, Struggling Borrowers Urged to Act Now
APRIL 21, 2025
The U.S. Department of Education today announced its Office of Federal Student Aid (FSA) will resume collections of its defaulted federal student loan portfolio on Monday, May 5th. The Department has not collected on defaulted loans since March 2020. Resuming collections protects taxpayers from shouldering the cost of federal student loans that borrowers willingly undertook to finance their postsecondary education. This initiative will be paired with a comprehensive communications and outreach campaign to ensure borrowers understand how to return to repayment or get out of default.
While Congress mandated that student and parent borrowers begin to repay their student loans in October 2023, the Biden-Harris Administration refused to lift the collections pause and kept borrowers in a confusing limbo. The previous Administration failed to process applications for borrowers who applied for income-driven repayment and continued to push misguided “on-ramps” and illegal loan forgiveness schemes to win points with borrowers and mask rising delinquency and default rates.
“American taxpayers will no longer be forced to serve as collateral for irresponsible student loan policies,” said U.S. Secretary of Education Linda McMahon. “The Biden Administration misled borrowers: the executive branch does not have the constitutional authority to wipe debt away, nor do the loan balances simply disappear. Hundreds of billions have already been transferred to taxpayers. Going forward, the Department of Education, in conjunction with the Department of Treasury, will shepherd the student loan program responsibly and according to the law, which means helping borrowers return to repayment—both for the sake of their own financial health and our nation’s economic outlook.”
Federal student loans are financed by the American people. Instead of protecting responsible taxpayers, the Biden-Harris Administration put them on the hook for irresponsible lending, pushing the federal student loan portfolio toward a fiscal cliff:
Today, 42.7 million borrowers owe more than $1.6 trillion in student debt.
More than 5 million borrowers have not made a monthly payment in over 360 days and sit in default—many for more than 7 years—and 4 million borrowers are in late-stage delinquency (91-180 days). As a result, there could be almost 10 million borrowers in default in a few months. When this happens, almost 25 percent of the federal student loan portfolio will be in default.
Only 38 percent of borrowers are in repayment and current on their student loans. Most of the remaining borrowers are either delinquent on their payments, in an interest-free forbearance, or in an interest-free deferment. A small percentage of borrowers are in a 6-month grace period or in-school.
Currently, almost 1.9 million borrowers have been unable to even begin repayment because of a processing pause put in place by the previous administration. Since August 2024, the Department has not processed applications for enrollment in any repayment plan such as Income-Based Repayment, Income-Contingent Repayment, or PAYE. The Department is currently working with its federal student loan servicers and anticipates processing to begin next month.
Involuntary Collections for Defaulted Borrowers
FSA will restart the Treasury Offset Program, administered by the U.S. Department of Treasury, on Monday, May 5, 2025. All borrowers in default will receive email communications from FSA over the next 2 weeks making them aware of these developments and urging them to contact the Default Resolution Group to make a monthly payment, enroll in an income-driven repayment plan, or sign up for loan rehabilitation. Later this summer, FSA will send required notices beginning administrative wage garnishment.
The Department will also authorize guaranty agencies that they may begin involuntary collections activities on loans under the Federal Family Education Loan Program. All FSA collection activities are required under the Higher Education Act and conducted only after student and parent borrowers have been provided sufficient notice and opportunity to repay their loans under the law.
Support for Current and Struggling Borrowers
FSA is committed to keeping borrowers updated with clear information about their payment options to put them on a productive path toward repaying their federal student loans. Over the next two months, FSA will conduct a robust communications campaign to engage all borrowers on the importance of repayment. FSA will conduct outreach to borrowers through emails and social media reminding them of their obligations and providing resources and support to assist them in selecting the best repayment plan, like the new Loan Simulator, AI Assistant (Aiden), and extended servicers call times. FSA will also launch an enhanced Income-Driven Repayment (IDR) process, simplifying the time that it will take borrowers to enroll in IDR plans and eliminating the need for borrowers to recertify their income every year. More information will be posted on StudentAid.gov next week.
FSA intends to enlist its partners – states, institutions of higher education, financial aid administrators, college access and success organizations, third-party servicers, and other stakeholders – to assist in this campaign to restore commonsense and fairness with the message: student and parent borrowers – not taxpayers – must repay their student loans. There will not be any mass loan forgiveness. Together, these actions will move the federal student loan portfolio back into repayment, which benefits borrowers and taxpayers alike.
Detailed information to help borrowers get out of default is also available at StudentAid.gov/end-default.
https://www.ed.gov/about/news/press-release/us-department-of-education-begin-federal-student-loan-collections-other-actions-help-borrowers-get-back-repayment
Collections to Restart May 5th, Struggling Borrowers Urged to Act Now
APRIL 21, 2025
The U.S. Department of Education today announced its Office of Federal Student Aid (FSA) will resume collections of its defaulted federal student loan portfolio on Monday, May 5th. The Department has not collected on defaulted loans since March 2020. Resuming collections protects taxpayers from shouldering the cost of federal student loans that borrowers willingly undertook to finance their postsecondary education. This initiative will be paired with a comprehensive communications and outreach campaign to ensure borrowers understand how to return to repayment or get out of default.
While Congress mandated that student and parent borrowers begin to repay their student loans in October 2023, the Biden-Harris Administration refused to lift the collections pause and kept borrowers in a confusing limbo. The previous Administration failed to process applications for borrowers who applied for income-driven repayment and continued to push misguided “on-ramps” and illegal loan forgiveness schemes to win points with borrowers and mask rising delinquency and default rates.
“American taxpayers will no longer be forced to serve as collateral for irresponsible student loan policies,” said U.S. Secretary of Education Linda McMahon. “The Biden Administration misled borrowers: the executive branch does not have the constitutional authority to wipe debt away, nor do the loan balances simply disappear. Hundreds of billions have already been transferred to taxpayers. Going forward, the Department of Education, in conjunction with the Department of Treasury, will shepherd the student loan program responsibly and according to the law, which means helping borrowers return to repayment—both for the sake of their own financial health and our nation’s economic outlook.”
Federal student loans are financed by the American people. Instead of protecting responsible taxpayers, the Biden-Harris Administration put them on the hook for irresponsible lending, pushing the federal student loan portfolio toward a fiscal cliff:
Today, 42.7 million borrowers owe more than $1.6 trillion in student debt.
More than 5 million borrowers have not made a monthly payment in over 360 days and sit in default—many for more than 7 years—and 4 million borrowers are in late-stage delinquency (91-180 days). As a result, there could be almost 10 million borrowers in default in a few months. When this happens, almost 25 percent of the federal student loan portfolio will be in default.
Only 38 percent of borrowers are in repayment and current on their student loans. Most of the remaining borrowers are either delinquent on their payments, in an interest-free forbearance, or in an interest-free deferment. A small percentage of borrowers are in a 6-month grace period or in-school.
Currently, almost 1.9 million borrowers have been unable to even begin repayment because of a processing pause put in place by the previous administration. Since August 2024, the Department has not processed applications for enrollment in any repayment plan such as Income-Based Repayment, Income-Contingent Repayment, or PAYE. The Department is currently working with its federal student loan servicers and anticipates processing to begin next month.
Involuntary Collections for Defaulted Borrowers
FSA will restart the Treasury Offset Program, administered by the U.S. Department of Treasury, on Monday, May 5, 2025. All borrowers in default will receive email communications from FSA over the next 2 weeks making them aware of these developments and urging them to contact the Default Resolution Group to make a monthly payment, enroll in an income-driven repayment plan, or sign up for loan rehabilitation. Later this summer, FSA will send required notices beginning administrative wage garnishment.
The Department will also authorize guaranty agencies that they may begin involuntary collections activities on loans under the Federal Family Education Loan Program. All FSA collection activities are required under the Higher Education Act and conducted only after student and parent borrowers have been provided sufficient notice and opportunity to repay their loans under the law.
Support for Current and Struggling Borrowers
FSA is committed to keeping borrowers updated with clear information about their payment options to put them on a productive path toward repaying their federal student loans. Over the next two months, FSA will conduct a robust communications campaign to engage all borrowers on the importance of repayment. FSA will conduct outreach to borrowers through emails and social media reminding them of their obligations and providing resources and support to assist them in selecting the best repayment plan, like the new Loan Simulator, AI Assistant (Aiden), and extended servicers call times. FSA will also launch an enhanced Income-Driven Repayment (IDR) process, simplifying the time that it will take borrowers to enroll in IDR plans and eliminating the need for borrowers to recertify their income every year. More information will be posted on StudentAid.gov next week.
FSA intends to enlist its partners – states, institutions of higher education, financial aid administrators, college access and success organizations, third-party servicers, and other stakeholders – to assist in this campaign to restore commonsense and fairness with the message: student and parent borrowers – not taxpayers – must repay their student loans. There will not be any mass loan forgiveness. Together, these actions will move the federal student loan portfolio back into repayment, which benefits borrowers and taxpayers alike.
Detailed information to help borrowers get out of default is also available at StudentAid.gov/end-default.
https://www.ed.gov/about/news/press-release/us-department-of-education-begin-federal-student-loan-collections-other-actions-help-borrowers-get-back-repayment
82
AD
2025 Apr 21, 3:48pm
AD
2025 Apr 21, 3:48pm
Al_Sharpton_for_President says
Its time to end the gravy train for these Democrat free loaders.
.
APRIL 21, 2025
The U.S. Department of Education today announced its Office of Federal Student Aid (FSA) will resume collections of its defaulted federal student loan portfolio on Monday, May 5th. The Department has not collected on defaulted loans since March 2020.
Today, 42.7 million borrowers owe more than $1.6 trillion in student debt.
Its time to end the gravy train for these Democrat free loaders.
.
84
AD
2025 Apr 21, 4:27pm
AD
2025 Apr 21, 4:27pm
RWSGFY says
I doubt it. Likely inflation will stay between 2.5% and 3%. I think 3% is the guardrail for Trump admin.
Trump will grow the economy and reduce the federal deficit. Could be a combination of reducing trade deficit by at least 20%, keeping the federal deficit just below the previous years deficit, and increase manufacturing jobs in the USA.
Looks like these debts will be hyperinflated away, bwahahahaha.
I doubt it. Likely inflation will stay between 2.5% and 3%. I think 3% is the guardrail for Trump admin.
Trump will grow the economy and reduce the federal deficit. Could be a combination of reducing trade deficit by at least 20%, keeping the federal deficit just below the previous years deficit, and increase manufacturing jobs in the USA.
86
Misc
2025 Jun 23, 8:43am
It will never pass the Senate, but the House passed a bill doing away with crap college majors the hard way - by having the colleges pay for students that don't repay their student loans.
https://www.msn.com/en-us/money/careersandeducation/house-passes-trump-s-education-overhaul-forcing-colleges-to-pay-for-student-loan-defaults/ss-AA1Hfjxp#image=19
https://www.msn.com/en-us/money/careersandeducation/house-passes-trump-s-education-overhaul-forcing-colleges-to-pay-for-student-loan-defaults/ss-AA1Hfjxp#image=19
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If the argument is that 100k is a ridiculous amount for school to cost, then how is paying for it with taxes or debt forgiveness going to fix that in any way ever? At least with a direct responsibility for a high tuition, people will be choosing to get cheaper and equal or nearly equal alternatives via price substitution...
Here is my take on the solution to this problem:
1) Reinstate the ability to declare bankruptcy to discharge student loan debt BUT make there be a 10 year discharge period, with a 10% income repayment cap. This allows people to get out of their debt in the event of life events, but doesn't let them off the hook entirely. It also returns responsibility to the lenders to lend less money if the student doesn't have a good prospect of finding a job with the degree they intend to pursue (or have other means of paying).
2) If the student applies for bankruptcy after completing a degree, the school becomes liable for 30% of the debt remaining after the 10 year payoff period is over for the student. This gives schools some incentive to not steer students into majors that won't let them pay the bills.
What do you guys think?