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[wilbart]

Other government guaranteed loans are automatically dischargeable, such as home loans. Government guaranteed student loans under former law were automatically dischargeable after 7 years. Now they are never automatically dischargeable.

[christie42]

Because the loans aren't secured. Every college student on the planet who ownes nothing will default on day one out of college and NO LOAN would ever be repaid.

[bothan]

All loans need some sort of protection against people just taking the money and walking away. Home loans come with a lien on the home. The closest you can come to a lien on someone's education is having a claim on their lifetime income, even after bankruptcy.

At least that's the rationale as I understand it. I think they should be dischargeable in bankruptcy. Maybe not automatically, but there's no good reason to be completely merciless to someone about a bad decision they made twenty years earlier.

[luther]

Because people would go to school rack up a ton of loans and then never pay them off. I have already had to claim bankruptcy and one thing I can say about my student loans is that I have been able to ask for forbearance this entire time, I haven't paid hardly any of it off because I haven't had any money, but they have worked with me and not made me pay any of it back. It's not like they are going to garnish your wages, all you have to do is ask and they will defer the payments for a year, and then all you have to do is ask again and they will defer if for longer. They work with you, Think about it, if you knew at some point you could blow off your student loans, why wouldn't you just rack them up and then blow them off. It's not really fair to the Government that is paying for you to go to school. Everything can't be free.

[slaine]

WHY? Because the government makes all the rules and they desperately need your money