A Decrease in Student Loan Defaults, A Strong Federal Government.

On October 2nd, New York Times published an article on the opinion pages written by The Editorial Board "What to Do About Student Loan Defaults." In which he argues that the federal government needs to do something about creating affordable payment plans basing it on the student’s income.  "Allowing them to eat and pay the rent without falling into default". According to the editorial board in 2011, 650,000 as what he calls "borrowers" began paying back their loans, but had already defaulted by 2013. Not only does defaulting cause damage to the students credit, possibility of taking out another loan in the future, but it can reduce the amount they get back from the government on their income taxes and social security checks. As well as, schools risking the possibility of losing the Pell grant program and the federal loan program due to their default rates being too high, leaving them too be forced to shut down.

 
As a college student that has other bills to pay and needs to be able to put food on the table. I agree with the editorial board that the federal government needs to create a system that helps student pay off their loans without the risk of falling into default. The federal Government tells us that we have a certain amount to pay each month, and when we fail to make those monthly payments. The interest builds up, and we become even more in debt. How do they expect us to pay those debts off if we couldn't pay it the first time? I believe that if the federal government bases the monthly amount the "borrowers" have to pay depending on their income, the default rate would decrease a vast amount. However, I also agree that the federal government should crack down how much money they let the students borrow and pay more attention to what that money is going towards. They should only give enough to students so that they're able to pay off their school bills, books, and school supplies.