House Resolution 365 (linked above) is something many of you out there may have never even heard of before. I will not lie, I just heard about it right before writing this blog because an old friend of mine on Facebook had posted a petition for others to sign to get this resolution moving. Although the Resolution does nothing itself to change any kind of law or reason inside Washington, the premise is simple: Pass this resolution to say that the Congress is supporting a forgiveness of student loan debt. While there are other parts to this resolution which you can read on your own and form an opinion on, for this blog I want to stick with why I believe a plan of action like this could, in the end, hurt America more than actually help America and its economic troubles.
In a time when the President wants to raise taxes on everyone in this nation, a Democrat sponsoring a bill that would forgive student loan debt seems to defeat the purpose of raising revenue, at least in my eyes. Students take out loans from the government and promise to repay them, and in turn the government makes money off of those loans. That is the way it is supposed to be, but we all know that these loans, many times, are not paid back and the government loses a lot of money on student loans. To forgive a large portion of the loans taken out by the young adults in this country because many cannot find a job is going much too far, and is taking away any kind of revenue jump you may be able to get out of the program in the future. If this was a one time sell-off where the government was getting out of the loan game, it would be much different. But this resolution would call on the President and the Congress to pass immediate legislation to make sure that the loans keep coming while those who are out of school and cannot find work would have their loans forgiven by the government. read more »