If you told the lending institutions that students who declare bankruptcy could discharge their student loans as well, then lending institutions would have to look very carefully at who they choose to lend money to.
Why give 100k to a graduate student in Wimmin’s Studies when the student has less than a 1/10 chance of ever earning enough money to pay back the tuition. If the planned course of study cannot withstand economic scrutiny, then why lend money to them? Let them scrounge up the money on their own. Besides, it would probably put a huge dent in the absurd rate of tuition increases when the “free money” supply in federally guaranteed loans dries up.
If I were a bank, I’d loan money to someone who wanted to be an accountant or an engineer, but a Chicano/a Studies idiot? Not a chance.
