There is now a proposal before Congress for the government to pay off all the banks that have lent money to students.
The government has already changed the bankruptcy law to make it almost impossible for students to escape this debt. But the banks still cannot collect the money.
So, it’s Congress to the rescue! Bail out the banks! But do it in the name of helping the poor students, who were so stupid as to take on these debts.
They could have earned their degrees for $15,000 or less. But no! They loaded up on debt. And now they cannot repay. So, Congress is supposed to do it for them.
That means you. That means me.
I don’t think this bill will become law. But it’s a sign of the times. There are always members of Congress who think no one is ever individually responsible for his major mistakes, but the taxpayers are collectively responsible for the losers’ mistakes.
The winners in life owe their wealth to the losers. So, the deficit rises and the Federal debt rises.
Who will bail out Congress in the Great Default?