Even though defaulting on federal loans sounds like a special kind of hell, Rhodes told me that giving up on private ones is actually a good idea in a lot of cases.
When you're struggling with debt, combining all of your debts into one easy-to-pay loan sounds pretty good.
Good as these loans may sound, financial counselors say they can leave families vulnerable.
While taxpayers could lose the $528 million the company borrowed from the Treasury, Jeffrey D. Zients, deputy director of the Office of Management and Budget, said that the system for evaluating such loans was sound.
REUTERS Parsing Spain's Banking Woes | News from Spain's central bank this week that the situation at the country's banks is deteriorating because of an increase in bad mortgage loans may sound similar to what brought on the banking crisis in America.
Alas, this is really semantics: The FDIC will still be sucking money from the banking system to finance bank foreclosures, which means less money for loans to sound businesses and consumers.
He defended the loans as sound business decisions, a claim undermined by the foreclosures.
What difference whether a loan was sound if you could flip it in 48 hours?
Why not have an opt-out home mortgage plan, based, for example, on a 30-year, fixed-rate loan, with sound underwriting and straightforward terms?
On higher education, the OECD was largely positive about income-contingent student loans but sounded a warning about increasing costs for UK students who now graduate with the second-highest average debt among OECD countries.
