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<p>Interest should reflect risk associated with loan. In a perfect world, the government would incentivize education more so for those that study a more lucrative field because those people are more likely to be able to repay their loans. The government should raise interest rates for those who are not “creditworthy”.</p>
<p>Private lenders should bear more risk and therefore create additional eligibility criteria to make sure loans stay loans. We should differentiate a grant from a loan. Call them what they really are.</p>
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It’s a redistribution of debt.</p>