HRC to offer plan on paying college tuition without loans.

[elleng]

http://www.nytimes.com/2015/08/10/us/politics/hillary-clinton-to-offer-plan-on-paying-college-tuition-without-needing-loans.html?

Magic, I guess.

[Warpy]

1. The only way to correct this is to RAISE WAGES

Kids wouldn't be taking on crippling debt in order to get an education if their parents weren't being so grossly underpaid.

Any other plan will involve magic unless billionaires have all their ill gotten money confiscated outright to pay for it.

[delrem]

2. She'll "tweet" her plan.

Then her team will copy/paste a few focus group approved phrases on Facebook and generate a storm of "likes".

After she wins (if God forbid big money actually pulls it off and she does) she'll forget that she ever entertained the notion, not that the notion will ever be brought up -- the MSM is every corporatist's friend -- and the discussion will be all about the latest in an ever expanding arena of cowardly for profit wars.

[Recursion]

3. Utah has an interesting idea of paying with equity rather than debt

That is, the state gets a claim on X% of a graduate's future income for 20 years. Neat idea.

But, anyways, as I read this she wants to give a lot of money to the states on the condition that they use it to make college more affordable.

O'Malley of course, has an excellent position on student debt, though I obviously don't need to tell this group that. I particularly like the hard limit of tuition at 10% of the state median income at a public university. And actually his tying repayment rates to income sort of comes closer to the equity idea.

[exboyfil]

4. Is that much different than

the current Federal plans of income based repayment.

https://studentaid.ed.gov/sa/repay-loans/understand/plans/income-driven

I guess one possibility is if everyone is forced into such a plan then the higher earners may actually pay back more than they would have otherwise with conventional student loans. Of course those families that can afford the tuition (even if it met more conventional borrowing like against retirement or equity in the house) would chose to go that route instead.

[Recursion]

5. Unfortunately the income-driven repayment system now is something like a payday loan

The interest recapitalizes as you "underpay", with the result that lower-income borrowers can actually end up making every payment they are required to and owing more at the end of the year than when they started.