I read this shocking story today. Even a man of Ben Bernanke’s financial success and fame has to ask his son to finance his professional education. With the doctor shortage and the fame of his name, Chairman Bernanke’s son will not have trouble finding a job.
The same cannot be said for many other college and professional school graduates with debts ranging from $25,000 to $400,000. Many of these students are unemployed. They are not paying their student loans. Student loan lenders are high-priority creditors like child support. One cannot discharge a student loan debt in bankruptcy (unless there is an extraordinary situation like permanent disability.) Desperate creditors are resorting to ruthless tactics like trying to intimidate of use legal technicalities to make the parents liable for these debts.
In the early 198r’s Britain had an unemployment crisis like we have today. Young people left the UK and went to West Germany, Australia, South Africa, the US and Canada to find work.
Many of these American students are going to wake up and realize that good employment opportunities exist in places like Brasil, Chile, Singapore, China, etc. They will leave the USA for “greener pastures” and turn their backs on their student loan debts. The US taxpayers will be left “holding the bag’ for hundreds of billions of dollars of unpaid student loan debts.
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