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dryrot

(Us) Student Debt - Think They Can't Reclaim It If You're An Oap?

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Hi

This was interesting: They can take it at source from benefits -

"Student Debt Threatens the Safety Net for Elderly Americans"

http://www.businessweek.com/articles/2014-08-12/more-elderly-americans-are-struggling-with-student-loan-debt?campaign_id=DN082614

"She says there’s no limit to how long the government can try to collect student debt: “In human terms that means, literally, that it follows them to their graves.”

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Merklein is among the more than 2 million Americans age 60 and older carrying student debt, up from about 700,000 in 2005, according to the Federal Reserve Bank of New York. The debts are from old loans like Merklein’s and more recent ones that older Americans take to go back to school or pay for college for their kids. In total, this group has $43 billion in unpaid loans, five times what they owed in 2005. The average debt also has risen by more than 60 percent since 2005, to around $20,000 per borrower older than 60.

The government has the power to seize portions of the pay or Social Security checks of those who’ve stopped paying their federal student loans. It can also confiscate tax rebates. Borrowers can negotiate a repayment plan with the government to get out of default.

Unlike the UK variety which at the moment has a time limit the US hasn't.

Just think what all that debt has done for GDP, keeping the ponzi going. Naturally in the next nine years we need to see this figure again by 5 times again? For the same effect?

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I read somehwere last year that a Veteran from the wars had his disability cheque seized by the debt collectors.

This is the way things are going in this country, I fear, given the surge in the default rate.

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I read somehwere last year that a Veteran from the wars had his disability cheque seized by the debt collectors.

This is the way things are going in this country, I fear, given the surge in the default rate.

There does seem to be a lot of people banking on never earning £21k.

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