https://www.yahoo.com/finance/news/purdue-income-share-agreement-scrutiny-student-loan-153057798.htm
I think Oregon (the state) offers these ISA loans. I didn’t think it was a good idea when I first read about them. Sort of an indentured servant arrangement.
The chart about loan forgiveness and what it would cost the government is also interesting. What it doesn’t say is that the government is not collecting all the amounts in the category right now, so forgiving $10k in loans doesn’t mean $318B is not going OUT of the treasury but that some portion of that will not come INTO the treasury.
When I was working, I was asked to explore an alternative loan arrangement, with the school facilitating borrowing through a private lender (not a bank). I didn’t even have to think about it … it was a hard & fast no. I don’t believe that schools should be recommending anything other than federal loans when students need to borrow, and if they do, it’s the school’s responsibility to make sure that the students don’t get the shaft. Because I was not in a position to be able to guarantee that, I was not about to be part of it. I feel the same way about ISAs. I did read that ED is considering regulations for them, but I am still very leery.
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