BO said the GOP House-passed bill that would tie student loan interest rates to the market was not smart and not fair. “It fails to lock in low rates for students next year,” BO said Friday in a Rose Garden speech, flanked by college students. “That’s not smart. It eliminates safeguards for lower-income families. That’s not fair. It can actually cost a freshman starting school this year more over the next four years than if we did nothing at all and let the interest rates double on July 1."
The most efficient way to handle student loans or any loans is to
let the market place determine rates.
But BO, like his mentor Karl Marx, said credit should be controlled by
the state. This is necessary so the wealth can be spread as the Marxist/Progressives determine. Barney Frank and Chris Dodd insisted on this same procedure for housing and we saw the results. Government intervention in student loans is causing another bubble and also is the primary reason for the increase in tuition costs. Costs increase rapidly every time the Federal Government becomes involved. Look at health care insurance rates and costs. The Marist/Progressives must be removed so the efficient market place can again start to work.