A third of student borrowers spent money they thought would be forgiven: poll

[mystery-ak]

A third of student borrowers spent money they thought would be forgiven: poll
Adam Barnes


More than a third of student loan borrowers spent money they otherwise would not have when they believed a portion of their debt would be forgiven by the Biden administration, according to a new poll.

Most borrowers surveyed by Intellingent.com were confident they would receive some student debt relief as part of the Biden administration’s plan to forgive at least $10,000 for federal borrowers and up to $20,000 for those who received a federal Pell Grant while in school.

The Supreme Court struck down the president’s forgiveness plan at the end of June.

The survey conducted from July 6 to July 10 measured the responses of 977 respondents who qualified for Biden’s student loan forgiveness program   

Among borrowers who spent additional money expecting some debt relief, 9 percent spent between $5,000 and $7,501 extra, while another 17 percent spent $5,000 more than they would have had they not expected forgiveness, the poll found.

Borrowers used what they believed would amount to extra money in their pockets on a range of items, though 37 percent said they paid off other debts. Others used the funds on home repairs and rent payments.

more
https://thehill.com/business/4093747-a-third-of-student-borrowers-spent-money-they-thought-would-be-forgiven-poll/

[libertybele]

Simple -- don't spend money that you don't have!  That doesn't take a college education to understand. 

[The_Reader_David]

Simple -- don't spend money that you don't have!  That doesn't take a college education to understand.

Unfortunately, getting a college education in most majors at most colleges and universities these days doesn't seem to teach that simple lesson (or much else of practical use -- gone are the days when even the impractical subjects were taught in such a way that the cumulative effects of the education would in the words Harold MacMillan recalled from one of his Oxford dons to give one the ability to "tell when a man is speaking rot".)

[mountaineer]

They're idiots.

Next?

[Smokin Joe]

Should have been in 4-H...They'd have learned to not count your chickens before they're hatched.

[DB]

And that's in addition to the nearly two years of not making payments at all on their debt...

[GtHawk]

Students have for decades spent a large portion of their 'education loans' on things totally unrelated to their education. things like electronics for entertainment , dining out, movies, concerts, clothing, most anything but education and now after graduating(if they did) they don't feel they should have to pay the loans back because they say it's a hardship while they continue to spend money on unessentials because they refuse to grow up and face their responsibilities.

[libertybele]

Unfortunately, getting a college education in most majors at most colleges and universities these days doesn't seem to teach that simple lesson (or much else of practical use -- gone are the days when even the impractical subjects were taught in such a way that the cumulative effects of the education would in the words Harold MacMillan recalled from one of his Oxford dons to give one the ability to "tell when a man is speaking rot".)

Good grief it shouldn't take a college course or even an economics course. It's simple logic that parents should teach their kids as they are growing up.  A 'piggy bank' is golden.  If a child has only $5.25 in their piggy bank and they want something that costs $5.99 they need to be taught that they need to wait till they have enough money to buy the item that they want.  It's that simple.

[Wingnut]

Simple -- don't spend money that you don't have!  That doesn't take a college education to understand.

C'mon man.  The Flounders  F'd up. They trusted Biden!

[mountaineer]

Good grief it shouldn't take a college course or even an economics course. It's simple logic that parents should teach their kids as they are growing up. 

Exactly. I learned all I needed to know about spending only what I had, and paying bills on time from my parents. I also heard enough tales of their growing up during the Great Depression to convince me to live frugally.

[Smokin Joe]

Exactly. I learned all I needed to know about spending only what I had, and paying bills on time from my parents. I also heard enough tales of their growing up during the Great Depression to convince me to live frugally.

The stunning smackdown and lesson in economics when I experienced my first oil boom gone bust made me glad I only spent money I had. It also taught me to put enough money away to get through 'adjustment' periods that involved changes in income. Always have a plan 'B', borrow only when you must, pay it back ahead of schedule. Credit is a tool, and can be helpful if one keeps in mind that it will have to be paid back, and that interest will make that hurt a little.

[Hoodat]

These borrowers are going to be in deep doo doo once they reach retirement age and realize they should have saved some money for retirement.

[Kamaji]

They're idiots.

Next?

Exactly

[LMAO]

Lol…

They have the perfect mindset for a career in politics

[libertybele]

Students have for decades spent a large portion of their 'education loans' on things totally unrelated to their education. things like electronics for entertainment , dining out, movies, concerts, clothing, most anything but education and now after graduating(if they did) they don't feel they should have to pay the loans back because they say it's a hardship while they continue to spend money on unessentials because they refuse to grow up and face their responsibilities.

Growing up and facing responsibility; gee that doesn't seem to sink in with the current generation.  We've got a major problem in this country stemming from the fact that this generation (and others) seems to feel that they are 'entitled' just because. Kudos to the liberal education system for teaching them that valuable lesson. 

[mountaineer]

Growing up and facing responsibility; gee that doesn't seem to sink in with the current generation.

At the risk of overgeneralizing, they seem incredibly immature. I don't see your average 19-year-old male of today scaling the cliffs of Pointe du Hoc. I just can't see it.