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by kadoban 68 days ago
The difference is you _can't_ do that for student loans. There is no option to get rid of them via bankruptcy.

So, this happens instead.

1 comments

Yeah because then most students would graduate and declaring bankruptcy would be the first thing they do out of school. People have almost no assets at that point that they can lose, no real income. They would ride out the 7 years of bad credit while building out their early career and essentially would get a free education. The financial system wouldn’t be able to manage that at the pure scale of the number of people that use student loans.
I did not suggest that you could just turn on bankruptcy with no rules.

> [...] essentially would get a free education.

How horrible, imagine the world.