Student loan debt clock ticks to $1.57 trillion on Election Day 2016
The academic bubble is about to burst, as academics in their infinite wisdom tell us that they know best how to run our society and civilization. Doesn’t it seem strange? It seems like they haven’t put their own house in order, and yet they want our whole country to function like one giant, really interesting college campus. These same academics want to tell us how to vote, redistribute wealth, and how to think, well, I think doomsday is right around the corner, and I’m afraid what’s to come won’t be pretty. No, I don’t want to be the one to say; “I told you.” Surely, there are others with more followers on social networks who see the reality of the situation to give that slap when the time comes. Okay, so let’s talk, okay?
40% of student loans are technically delinquent (90 days on the back with no further agreements to catch up on payments). That’s $583 billion in defaulted loans that we may never see paid off. Trust me when I tell you that the college loan bubble has burst and it is an extreme crisis. Why is this allowed to continue? Well, if it stops, it will collapse academia, become a huge problem for our federal government, add more than 1/2 trillion to our $20 trillion national debt, and cause the angst of millennials whom the Democrats have all but promised “Free university for all”. “during the 2016 presidential election.
Still, by the time the election is over, student loan debt will be $1.57 trillion, even though official numbers claim it’s only $1.2 trillion, which was actually the number before the start of the 2015 academic year. .
If you don’t see the enormity of the problem, let’s talk about the auto industry right now. It turns out that the number of subprime auto loan defaults is at another all-time high of 4.5%: Subprime means loans made to people without proof of repayment ability or marginal credit scores, perhaps from borrowers of low socioeconomic status. The last time this happened, the auto industry collapsed and needed a big bailout, and now we’re hitting those same numbers, realizing this is only 4.5%, not 40-50% like the lending problem. students.
Scared yet? Well, today is Halloween 2016, and I am, and no, there will be no good witches flying on their broomsticks to win the next election and using hocus pocus to make this problem go away; in fact, both presidential candidates are likely to see the auto loan problem worsen, as well as the student loan debt problem, not to mention our stock market breaking all-time highs with PE indices and US record highs. major stock indices.