Laughable student debt rising.

I recently saw a chart that showed student debt to be one of the big debt growth engines in the past few years and it struck me as funny to see this because once a thing has become an internet meme, that is usually the peak of it.  Whereas kids were going to college and racking up debt partying, they now know it's a dumb way to go and so many are looking for another way forward in life.

So why is the student debt still growing like crazy?

Well, the answer is in a recent yahoo article and it centers about one word: forbearance.  It sounds like the lender being nice under temporary circumstances for the poor student but if you read the article, the liberal fool who the article is about admitted she deliberately hadn't paid a dime since graduating.  Meet Ms. Moral Hazard in the flesh. If you give a lazy shithead a way to avoid the honest path, they will avoid the honest path.

Her loan provider, Navient, is being accused of "pushing" its debtors into the forbearance plan in which you pay back nothing, but the debt against you grows with compounding interest.  So the debt of ms Something for nothing Moral Hazard has been growing despite the fact that she has been out of school for many years.

And so Navient counts her failed loan, and the hundreds of billions of failed loans of others, as "assets" to be collected on their books.  If they were forced to mark to market, Navient would immediately go BK.  The only reason they suggest forbearance is because they know if they send the loan to collections, they have to move the failed loan from the "asset" column to the "loss" column.  And like any bank, if they have too many losses it becomes apparent they have no capital.

Navient will ABSOLUTELY BK.  100%.  Because if Ms. liberal fool didn't pay 60k then she's not going to pay 100k either.  And if they garnish her wages you can bet this useless lump of biomass will just quit her job and demand welfare.  Navient and others in this space will never collect on these trillions in bad loans.  These people will just vote in a socialist and, while blaming the system for their situation, will demand loan forgiveness.

What a fraud. The whole thing is one big fucking lie.  And the longer it goes on, the worse it is going to be for all of us when it finally collapses.