Henry 1 Angel Henry John Kubler English 114A 10 November 2013 Student Loan Proposal and Annotated Bibliography

Student loans have been around for a very long time. Just about every student that goes to any type of college takes out some type of loan. There is a student loan statistics that says approximately 37 million student loan borrowers with outstanding student loans today. Only about 37 percent of federal student loan borrowers between 2004 and 2009 managed to make timely payments without postponing payments or becoming delinquent. Many people have a hard time paying back their loans and trying to pay bills. When interest rates go up it makes it even harder to pay back loans on time. There is nothing wrong with getting a loan because a high school diploma doesnt really get you anywhere in the world. Everyone has always said go to college to get a good job and in order to do that some people have to take out a loan. Trying to pay back student is a burden on people especially if it is a great amount. People say that the government shouldnt forgive student loan debt. I think they should at least try to help out some way. Im not saying take the whole burden of debt because that would make the economy worse but to at least try something new. I want people to see that there could be other ways to get rid of all this student loan debt. Its ridiculous to have such a huge debt the way we do. There should be a limit or something when people take out a loan. I want to show that there is other ways people are thinking of or do for student and college. Then the government wont have to take on a trillion dollar debt an make the economy worst. I will also show that the government has other problems to worry about other than student loans.

Henry 2 Sources Donovan, Tim. Student Loan should be treated like Detroits. Salon. 24 Jul 2013. Web. (10 Nov. 2013). This article talks about how Detroit can resort to Chapter 9 protection as a last resort to avoid their creditors. Americans with student debt dont even get the chance to file for bankruptcy if it has to do with their loans. Nearly all forms of debt can be forgiven through bankruptcy but student loans. The student loan problem is so huge that it covers the national credit card debt which is just ridiculous. He says that high school students are pressured to go to college by any means necessary so that they wont be ashamed of the life they chose. Donovan says nearly all type of debt can be file for bankruptcy including gambling debt. I would use this to show that if gambling debt can be filed but not student loans that something is wrong with our government. Kadlec, Dan. Student Loans Are Becoming a Drag on the US Economy. Time. 18 Oct. 2013. Web. (10 Nov 2013). In this article Kadlec talks about how student loans are messing with the buying or renting houses. Underemployed new college graduates struggling with student debt and unable to contribute to the economy. Many recent graduates dont have the disposable income or the credit score needed to buy a house. When they borrow money and try to pay it back its hard and takes a toll on their credit score and on their ability to buy a home or anything else with borrowed money. Mortgage servicing industry suggests that many student loan servicers are not taking proactive steps to avoid a similar breakdown. I would mainly use this article to show what student loans are doing to someones life and how it needs to be changed. I would also show that the student loans are messing with the buying of homes.

Henry 3 . Smith, Martin. The Untouchables. PBS: Frontline. 22 Jan. 2013. Web. (10 Nov. 2013) Frontline investigates why Wall Streets leaders have escaped prosecution for any fraud related to the sale of bad mortgages. Richard Bowen Sr, VP & Chief Underwriter realized that 60% of the loans did not meet the standards of the policy. Due diligence underwriters are supposed to check the loans to make sure nothing looked suspicious. No one go into any type of trouble even though they knew something was wrong with some of the loans. This documentary helps show that the government has bigger problem to worry about than student loans. Showing this just makes people realize that with any type of loan there needs to be a change, someone needs to pay attention. Vedder, Richard. Forgive Student Loans. National Review Online. 11 Oct. 2011. Web. (10 Nov. 2013). This article was written by Richard Vedder who says that student loans should not be forgiven at all. He says that it is probably the worst idea anyone could ever make. He believes that they want the taxpayer to foot the bill for their years of limited learning and heavy partying while in college. And that many of these student are well off and spoiled. If the government was to take this trillion or so debt from it would be adding on more problems to the economy. Our economy is already struggling no need to make it worse. I would use this article to help show that the government shouldnt take on this debt but to help come up with a way to help without taking on this burden White, Martha. Oregons Pay it Forward Program. Time. 17 Jul 2013. Web. (10 Nov. 2013). The article talks about how in Oregon a proposed pilot program would allow students to attend college tuition-free. Instead of taking out loans and piling up debt, students agree to pay the state back a small portion of their income over the course of a couple of decades. Its a loan but another

Henry 4 name. The amount of repayment would be 0.75% of the students annual income per year of schooling. White says that many of the brightest economic minds think that an income based repayment plan will eventually be the way to go. I could use this to show that this type of deal could free students from the burden of debt in loans and not have to have to repay each month.