<p>Assume no guarantees, just like any other investment people make, in stocks, bonds, real estate, education. Even bank accounts are not guaranteed – viz the erosion in the purchasing power of money due to government printing. (One can shift and redistribute all one wants for a while, but eventually all investments are backed by none other than the production capabilities of the economy, and that is never guaranteed.)</p>
<p>But suppose you do get to set the qualification screening. That is really the crux of the problem, isn’t it? Would would you require of the borrower to satisfy your risk-reward trade-off and finance his education?</p>