3 minutes ago, Dave Moss said:

Let me guess, he brought nuance to the conversation? 
 

 

Let me guess, that is an emoji of you hitting yourself for using that horrible word.

1 hour ago, Dave Moss said:

Fyi 

Munson is sad he can’t be here to argue with you about student loans

Only if he updates us on the retail chicken market.

1 hour ago, vikas83 said:

1) The loans aren't from for-profit enterprises. They are from the federal government. ~93% of existing student loan debt is owed to the federal government, and basically all new loan originations since 2010 are from the Feds. Stop with the predatory lender boogyman -- the guy screwing people is the federal government that morons think will save them

Again, these numbers just astound me. To my knowledge, a lot of people have student debt hanging around from over 15-20 years ago and owe much to private lenders or their servicers. Maybe that's the 7%, but that's actually incredible to me because it would mean that most of the student loans from over a decade ago have been paid off. Is that accurate? Is the 1.8T, or whatever the student debt level currently is, debt that has mostly been accrued over the last 12-15 years?

1 minute ago, EaglesRocker97 said:

Again, these numbers just astound me. To my knowledge, a lot of people have student debt hanging around from over 15-20 years ago and owe much to private lenders. Maybe that's the 7%, but that's actually incredible to me because it would mean that most of the student loans from over a decade ago have been paid off. Is that accurate? Is the 1.8T, or whatever the student debt level currently is, debt that has mostly been accrued over the last 12-15 years?

Agreed.  I’m not sure if the 93% number is right or not, but I’ve read all kinds of stories on Twitter about people who owe hundreds of thousands of dollars.  It’s crazy.

Just now, EaglesRocker97 said:

Again, these numbers just astound me. To my knowledge, a lot of people have student debt hanging around from over 15-20 years ago and owe much to private lenders. Maybe that's the 7%, but that's actually incredible to me because it would mean that most of the student loans from over a decade ago have been paid off. Is that accurate? Is the 1.8T, or whatever the student debt level currently is, debt that has mostly been accrued over the last 12-15 years?

The government was a majority of the loans back then too. They used to simply guarantee the loans made by private lenders, which allowed for lower rates. Similar to Fannie and Freddie with homes -- your loan may be from JP Morgan, but the actual risk is borne by the Feds. 

But yeah -- most of the debt has accrued recently.

 

https://educationdata.org/student-loan-debt-statistics

 

Just now, vikas83 said:

The government was a majority of the loans back then too. They used to simply guarantee the loans made by private lenders, which allowed for lower rates. Similar to Fannie and Freddie with homes -- your loan may be from JP Morgan, but the actual risk is borne by the Feds. 

 

I was going to say, I might be an example of this, because I honestly have no idea what the hell has happened with my private loans over the last ten years. I got loans from KeyBank in 2006-07. Started repaying them through Key, then suddenly it was Great Lakes, and now it's FirstMark, which is apparently a division of NelNet. Interest rate is still exceptional, so I have no complaints, but there's been a lot of weird shuffling of debt in recent years.

2 minutes ago, Dave Moss said:

Agreed.  I’m not sure if the 93% number is right or not, but I’ve read all kinds of stories on Twitter about people who owe hundreds of thousands of dollars.  It’s crazy.

SPOILER ALERT: statistics and data aren't debatable. 

1 minute ago, vikas83 said:

 

That graph is incredible. The system is certainly FUBAR one way or another.

Just now, EaglesRocker97 said:

 

 

I was going to say, I might be an example of this, because I honestly have no idea what the hell has happened with my private loans over the last ten years. I got loans from KeyBank in 2006-07. Started repaying them through Key, then suddenly it was Great Lakes, and now it's FirstMark, which is apparently a division of NelNet. Interest rate is still exceptional, so I have no complaints, but there's been a lot of weird shuffling of debt in recent years.

Could be a transfer of the servicing rights. If the rate is low, your loan is either issued or guaranteed by the government.

Just now, vikas83 said:

Could be a transfer of the servicing rights. If the rate is low, your loan is either issued or guaranteed by the government.

 

Well, this the confusing part. I paid off all my government-issued Stafford loans because they were relatively high, 7-8% or so from what i remember. Key seemed to get out of the student loan business altogether during the Great Recession. When I went back in 2008, I found out that they weren't accepting applications, so I ended up going with Wells Fargo, which were also pretty high. Knocked that out first, then the Staffords, but the Key loans were amazingly fair from the beginning.

1 minute ago, vikas83 said:

SPOILER ALERT: statistics and data aren't debatable. 

Student loans were privatized and now we’re forgiving loans.  I think there’s a correlation, just not sure how much of one.

1 minute ago, Dave Moss said:

Student loans were privatized and now we’re forgiving loans.  I think there’s a correlation, just not sure how much of one.

WTF are you talking about? Student loans weren't privatized. They are virtually all from the government. 

Here, argue with government data

https://studentaid.gov/data-center/student/portfolio

https://www.federalreserve.gov/releases/g19/current/default.htm

https://www.forbes.com/advisor/student-loans/average-student-loan-statistics/

Stop making up facts to try and fit your pathetic narrative.

41 minutes ago, VanHammersly said:

Yeah, I'm good with that.

 

Yeah, I think we all have to come to the realization that smart doesn't play in U.S. politics anymore. The systematic dumbing down of the electorate, combined with anti-intellectual politicking, has come home to roost. At least 75% of the electorate votes on raw emotion and transactional platforms of "what have you done for me lately?"

Just now, EaglesRocker97 said:

 

Yeah, I think we all have to come to the realization that smart doesn't play in U.S. politics anymore. The systematic dumbing down of the electorate, combined with anti-intellectual politicking, has come home to roost. At least 75% of the electorate votes on raw emotion and transactional platforms of "what have you done for me lately."

Hence...why I have a dog and no kids.

2 minutes ago, vikas83 said:

WTF are you talking about? Student loans weren't privatized. They are virtually all from the government. 

Here, argue with government data

https://studentaid.gov/data-center/student/portfolio

https://www.federalreserve.gov/releases/g19/current/default.htm

https://www.forbes.com/advisor/student-loans/average-student-loan-statistics/

Stop making up facts to try and fit your pathetic narrative.

Sallie Mae was privatized.  Where the f have you been?

Just now, Dave Moss said:

Sallie Mae was privatized.  Where the f have you been?

OMFG you are stupid. The loans they provide are funded by the government. They make their money on servicing.

Just now, vikas83 said:

OMFG you are stupid. The loans they provide are funded by the government. They make their money on servicing.

And now we’re repaying them.  R U dense??

1 minute ago, Dave Moss said:

Wait...are you stupid enough to think shareholders in a company that makes money on servicing loans wants the loan balances cut by 10%? So a company that makes money based off loan balances wants...lower balances?

Stop dude. This is beyond embarrassing. 

Just now, Dave Moss said:

And now we’re repaying them.  R U dense??

THAT HURTS SALLIE MAE YOU MORON

2 minutes ago, vikas83 said:

THAT HURTS SALLIE MAE YOU MORON

You’re so close to getting it…

18 minutes ago, Dave Moss said:

Agreed.  I’m not sure if the 93% number is right or not, but I’ve read all kinds of stories on Twitter about people who owe hundreds of thousands of dollars.  It’s crazy.

You've spent too much time hanging around the likes of Munson.

Alright, let me try and give Dave the benefit of the doubt. 

SLM would benefit if they really start collecting interest again in January, both on the loans they service and the small amount of loans they make. But literally every analyst who follows the stock thinks this is rather meaningless for them in the grand scheme of things. 

None of this changes that the government controls 93% of the market based on its own data. 

sallie mae's servicing company is now called navient, btw.   the entity still known as sallie mae now offers private student loans.