College loans have a place now just as they did over 40 years ago. I needed them, and a lot of student employment and summer jobs, to go to college since I had $0 help from parents who couldn't afford it. I paid them off over 10 years, but the interest rates were 2 to 5% - well below the profit-driving market rates at the time. That was due to the federal involvement at that time, and 10 years was plenty of time to pay them off. I used that education to establish my career, from which I've now retired.
My children completed college about 10 years ago and used college loans and jobs to supplement our financial help. We wanted them to understand the proper use of debt and the obligations that go with it, along with gaining an appreciation that you have to work for what you get.
The problem was, and is, that the interest rates are now at market and young folks starting out are having more difficulty with that. The profit has helped to expand the program well beyond its original legitimate purpose. Payment plans go well beyond 10 years as a result. Both children have been meeting their obligation, though our oldest, a teacher, just had hers forgiven after paying on them for about 10 years. That's good for her, but I'm still against Biden's plan, since others now have to pay for her education.
If they'd kept with the old plan of keeping banks, etc., from making big money off the loans, and kept from funding so much beyond 4 years, we wouldn't be in this place, and we wouldn't see these folks being told by Biden, et al, that everything should be given to them.
