President Biden announces he Won’t Extend Student Loan Relief And Confirms nikkas better pay up

[winb83]

Is that why all those PPP loans got forgiven for so many businesses?

One day yall gonna understand there has to be an oppressed working class in this country for us to survive. Our system is built off this. The poor, middle class, and working class aren't going to get breaks like PPP.

 

[North of Death]

One day yall gonna understand there has to be an oppressed working class in this country for us to survive. Our system is built off this. The poor, middle class, and working class aren't going to get breaks like PPP.

You either get fukked or do the fukkin

 

[winb83]

You either get fukked or do the fukkin

Some of there people it's like they walk up to a tiger and thing they can pet it. That tiger is gonna maul you. It's a wild animal that's it's nature. It's irrational for you to expect anything else but that.

They aren't gonna wipe away student loan debt. Your debt is someone else's asset. All the people who would actually do that if they had the power will never amass the power to do so. They'll always be kept away from such power.

Hell you can't even discharge student loan debt in bankruptcy anymore. Why would they wipe it out or forgive it? It's almost a guaranteed return on money.

 

[No1]

One day yall gonna understand there has to be an oppressed working class in this country for us to survive. Our system is built off this. The poor, middle class, and working class aren't going to get breaks like PPP.

Who is y’all?

 

[winb83]

Who is y’all?

The sorts of people that wonder aloud why PPP loans can be forgiven but student loan debt and other debt to the masses can't. shyt is like pointing out how water is wet. That's the way the world works.

 

[bnew]

Bundling Student Loans Like Mortgages. What could go wrong? « Spocko's Brain

Bundling Student Loans Like Mortgages. What could go wrong?
BY SPOCKO, ON DECEMBER 9TH, 2017
GOLDMAN SACHS: There’s an attractive way to profit from the $1.3 trillion student-loan bubble

Goldman Sachs has a plan to bundle student loans into securities and sell them, just like they did home mortgages. What could possibly go wrong!?

We won’t know until my friend David Dayen writes a book on how it all fell apart in 2021 under a Democratic president.

This sounds like a great plan — for the financial industry. I’m no expert, but I can’t see the downside for the industry.

1. Students have to pay. They can’t get out of the loans via bankruptcy like with mortgages.
2. Just like housing prices, tuitions always go up! Bigger loans are needed. The pipeline of students in debt will continue because free college isn’t coming anytime soon.
3. Investors are looking for a new debt instrument to speculate with. They can’t use home mortgages like before, Millennials aren’t buying houses–because of their student debt–so it’s a winner for banks.
4. The people who give out loans set the standards for worthiness or and credit. They have an incentive to give loans to people who may or may not be able to pay them back.
5. The banks will be able to bundle loans to students who have jobs and A+++ ratings with students who don’t have jobs and D+++ ratings. Just because they can’t get a job isn’t the lender’s fault.

If they scheme crashes (free college comes in the future, debt forgiveness is arranged for previous students) the government will bail everyone out!

When that happens the excuses are already in place!

Blame the students!

1. It’s his own fault, he bought too much education.
2. They should have known some degrees will just never pay off!
   “Computer programming!? Ha! Everyone knows that Indians can do it cheaper and better over the internet! . A degree in government lobbying is where the big money is at, everyone knows that.”

Blame Obama and Sanders

Obama was always giving people free stuff. First hope, them medical care.

Sanders put the crazy idea of “free college” into their heads. They figured Sanders would be elected and wave a magic wand to get rid of their debt! So they rolled the dice bought too much expensive education and lost.

Don’t blame Wall Street!
The financial institutions were just doing what they do. Make profits. There was a demand and they filled it.

Nobody could have predicted that an unregulated financial market would follow the same path with student loan debt instruments as it did with mortgage debt instruments.

Excuses, excuses, excuses

But Companies have learned their lesson!

The line is always, “Markets work.” Shareholders would punish the companies if they tried to do the same thing again. Investors in securities KNOW things now. Movies, starring Margot Robbie were made about the credit default swaps and it’s hard to forget that bubble bath scene!

But have things changed? Really?


People smarter than me write on this topic and I’m sure they have already pointed this out. I just wrote this post because I stumbled on the Bloomberg story and it read like the kind of story that you would see in a docu/drama like The Big Short, where people watching it asked, ‘Why didn’t anyone do anything to stop this at the time?” And then they would cut to Trump as President, the tax bill the Republicans rammed through congress, while a cabinet of Goldman Sachs executives quietly did what vampire squids do.

Student Debt Is Perfectly Following the Financial Meltdown Script
snippet:

You may recall the last financial meltdown we had, less than five years ago, occurred when the system issued too much housing debt to people unable to repay it, and then packaged that debt into securities and sold it off to investors hungry for "yield" who didn't really care about how fundamentally sound that debt was, like a game of debt hot potato, so that every single layer of person involved in the process was only concerned about their own short term gain, and no one had much incentive to stand up and point out that the whole thing was bound to crumble. Now, the exact same process is happening with our nation's huge and ultimately unsustainable pile of student loans. Not to worry—everything is different this time.

The WSJ reports today on just how well student debt is following the script: it's being bundled and sold off as securities to yield-hungry investors, despite its inherent riskiness. Just like those subprime housing loans were! Who cares? Dance until the music stops!

SLM Corp., SLM +4.22% the largest U.S. student lender, last week sold $1.1 billion of securities backed by private student loans. Demand for the riskiest bunch-those that will lose money first if the loans go bad-was 15 times greater than the supply, people familiar with the deal said...

Investors' hunger for risky loans shows the lengths they are willing to go to generate returns in a period when interest rates are hovering near record lows.

Note that just last week we received our latest update on the ever-growing shakiness of America's student debt load—balances are going up, along with delinquencies. It's all getting worse at the exact same time that investors are piling in. What timing! What flair! What perfectly predictable repetition!

seems like if biden did forgive student loans debt then he'd automatically trigger a financial crisis. the system is so fukked up he can't even admit the reason he won't do it.

 

[No1]

The sorts of people that wonder aloud why PPP loans can be forgiven but student loan debt and other debt to the masses can't. shyt is like pointing out how water is wet. That's the way the world works.

Or maybe in your emo ass mindset you lack the emotional intelligence to understand I was pointing out the contradiction in our system, which you just articulated. The irony is that in your inflated sense of self you’re the one who pointed out a simplistic ass point and didn’t grasp that I was pointing out that it is a policy choice not something is ordained by God. You’re in over your head - go talk about stocks and why bytches don’t want you. @bnew just did what you thought you were doing.

 

[The God Poster]

DUDE GONNA LOSE
SO BADLY IN THE NEXT ELECTION
IF HE HAS THE BALLS TO RUN.



​

You know the game at this point. A major push for our vote will happen a year before . All the well known entertainers on stand by

 

[-DMP-]

Bundling Student Loans Like Mortgages. What could go wrong? « Spocko's Brain



Student Debt Is Perfectly Following the Financial Meltdown Script
snippet:



seems like if biden did forgive student debt loans then he'd automatically trigger a financial crisis. the system is so fukked up he can't even admit the reason he won't do it.

I had no idea this was even a thing

 

[bnew]

In principal I am for student loan debt forgiveness.

if student loan debt is forgiven, the loans bundled into bonds or other financial products with crappy assets will plummet in value. those bonds or financial products were likely used as collateral to lenders. they will get margin called which could trigger a financial crisis.

Should you invest in student loan asset-backed securities?
snippet:

MAY 20, 2017 1:20 PM EDT
Should You Invest in Student Loan Asset-Backed Securities?
Investors looking for a new market might want to start considering student loans, but be careful. This is a market with risks all its own.

It's time to meet the SLABS.

Student Loan Asset-Backed Securities, or SLABS, are a way for investors to start putting their money into the student debt marketplace. With billions of dollars in this marketplace, and with the increasing questions that surround America's $1.2 trillion in outstanding student debt, it's worth taking a look at how investors put their money into student loans and what they're getting out of it.

What are SLABS?

For the layperson an asset-backed security may seem like a fairly confusing product that conjures up images of the 2008 recession and The Big Short. That's not entirely wrong, but not entirely right either. These are actually incredibly common properties in the marketplace.

An asset-backed security is an investment that pays based on revenue received from some underlying asset. While that's typically debt, such as credit card payments or auto loans, they can be built out of just about any revenue source. (Mortgage-backed securities are the same thing under a different name.) For example, movie studios have created bonds around film profits in the past. Debt is more common, though, because payments are regular and fixed, whereas profits off an asset are speculative and variable. Selling securities also helps lenders finance future loans, which encourages them to sell these products.

To create a security, a firm will typically bundle together a group of individual debts and sell pieces of that to investors, who make their money off the payments that individuals make.

So, for example, take a security backed by credit card debt. A credit card company could sell the debt of 10,000 cardholders to a financial firm. That firm will then bundle those individual debts into a security, which investors can buy shares in. As cardholders make their monthly payments, those are then distributed to the investors as their profit.

Securities backed by student debt are the same thing, except instead of credit card payments, the investors make their money off of student loans.

How popular are they?

Very.

"We have a billion dollars more in demand than we have supply right now," said Mike VanErdewyk, the founder and CEO of ReliaMax, a private student loan solutions provider. "I've got investors who want to buy private student loans and I don't have enough loans to sell them, which is kind of the opposite of a lot of business models out there."

"We have actually facilitated the buying and selling of ten private student loan portfolios in the last two years," he added. "So that's moving it from one balance sheet to another. It could be moving it from a bank to a life insurance company, or from a private equity fund to a bank."

The reason investors are interested in SLABS, according to VanErdewyk, is security. First they will invest either directly, by buying debt from firms like ReliaMax (which does not sell securities, but rather simply sells portfolios of debt directly), or through securities, which offer a chance to buy pieces of debt instead of the entire portfolio. As a debt class, student loans have much less risk than most other forms of lending.

The upshot is a financial vehicle viewed by many investors as highly reliable in a growing market, and as a result, SLAB investment has been increasingly popular.

Are SLAB investments a good idea?

Not everyone thinks so.

Student loan asset-backed securities have the advantage that they're backed by a theoretically indestructible asset. With most (but not all) loans guaranteed by the government and bankruptcy forbidden, this debt class should be essentially bulletproof. Add in the fact that private student loans can have some pretty hefty interest rates and it's almost a wonder this market isn't white-hot.

On the other hand, quite a few sober voices have been warning that this is a market headed for a fall.

The trouble is not that student loan assets are, in and of themselves, a bad idea. This is an investment in individuals, and banking on a doctor or Google whizkid engineer to make some money and repay his loan is generally a pretty safe bet.

However, like mortgages before them, the risk with student loans is that the value of the debt has begun to outstrip the value of the asset itself.

Student debt has become a complicated, contentious and increasingly political issue; that's appropriate, because most of the current landscape was established by policymakers. However, at its heart, the landscape fairly simple: students are taking on more and more debt to go to school, and their post-graduation gains have not kept up.

Incomes have stagnated while tuitions have soared, and the result is a debt class that increasingly looks unrelated to the value of the underlying asset. Or, to put it in more dire terms: a bubble.

The numbers are there to back up investing in student loans. Billions in securitized assets, $1.2 trillion in the overall market and a steadily growing debt class with no sign of stopping, that all points to a great investment.

........

 

[winb83]

Or maybe in your emo ass mindset you lack the emotional intelligence to understand I was pointing out the contradiction in our system, which you just articulated. The irony is that in your inflated sense of self you’re the one who pointed out a simplistic ass point and didn’t grasp that I was pointing out that it is a policy choice not something is ordained by God. You’re in over your head - go talk about stocks and why bytches don’t want you. @bnew just did what you thought you were doing.

I don't have an inflated sense of self in the least. You're still calling it a policy choice like it could be any other way. There isn't a path that leads to the other side of what you're calling a choice. It isn't a "choice" it's an inevitability.

There's nothing emo about understanding the nature of the world you live it. You personal attacks on me like you're telling me something about bytches wanting me or stocks is laughable to me. I guess you think you're doing something because you tell me to do something online like what you're my father. fukk outta here I'll do what I want and if you don't like it stop me or deal with it.

 

[Thavoiceofthevoiceless]

Some of there people it's like they walk up to a tiger and thing they can pet it. That tiger is gonna maul you. It's a wild animal that's it's nature. It's irrational for you to expect anything else but that.

They aren't gonna wipe away student loan debt. Your debt is someone else's asset. All the people who would actually do that if they had the power will never amass the power to do so. They'll always be kept away from such power.

Hell you can't even discharge student loan debt in bankruptcy anymore. Why would they wipe it out or forgive it? It's almost a guaranteed return on money.

You can, but it's not that easy to do which is why you don't hear it happening that often.

 

[keond]

You know the game at this point. A major push for our vote will happen a year before . All the well known entertainers on stand by

They gonna keep going with that "this is the most important election of our LIFETIME " bullshyt and run it into the ground. You can only go to the well so many times before apathy sets in

 

[Prince.Skeletor]

This is why if a politician says something like the below what do yo do?
Do you not believe him? Here's the thing, it ain't even about believing him.
He didn't even say anything but too many Americans interpreted the below like he was going to do something about the student debt crisis.
Politicians don't even have to be super clever and lie very tactically, you dumbass americans took the below as a promsie:




You know what he said in that first tweet?
NOTHING!

 

[winb83]

You can, but it's not that easy to do which is why you don't hear it happening that often.

Ok put it like this, if you aren't facing circumstances that basically have you fukked for somewhere around a couple decades you can't discharge student loans in bankruptcy. People facing normal circumstances that file bankruptcy can't do it.