Does anybody lose as a result of the student loan changes?

In summary, the recent changes to the student loan system have resulted in potential job loss for banks and financial institutions, such as Sallie Mae. Some may find humor in this, while others question if they should feel remorse for the banks. There are also those who believe that it is the executives and upper management who should be held accountable for the company's downfall, rather than the lower-level employees. Additionally, the changes in the student loan system may ultimately benefit borrowers by allowing them to obtain loans directly from the government. However, there are still concerns about potential rate increases.
  • #1
Char. Limit
Gold Member
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I saw this snippet in a newspaper today:

The Spokesman-Review said:
Q. Does anybody lose as a result of the student loan changes?

A. Banks and other financial institutions. Sallie Mae, the biggest student lender, has about 8,500 employees in the student loan program and has said close to one-third of them may lose their jobs as a result of the overhaul. Sallie Mae will still have contracts to service federal loans.

When I saw this, I didn't feel remorse for the banks. I almost laughed out loud. Then I worried that I was laughing at the suffering of others... Then I remembered that the "others" were banks, and I felt happy again.

Has anyone exhibited similar feelings as a result of the financial crisis?
 
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  • #2


Someday you might want to become a quant, so slower with the schadenfreude.
 
  • #3


Char. Limit said:
When I saw this, I didn't feel remorse for the banks. I almost laughed out loud.
Remember that none of the 8000 will be CEOs, they will mostly be customer service people in call centers.
So when your student loan check doesn't arrive, or your repayments suddenly gained a zero, there won't be anyone to call.
 
  • #4


Char. Limit said:
I saw this snippet in a newspaper today:



When I saw this, I didn't feel remorse for the banks. I almost laughed out loud. Then I worried that I was laughing at the suffering of others... Then I remembered that the "others" were banks, and I felt happy again.

Has anyone exhibited similar feelings as a result of the financial crisis?
It's never happy that people lose their jobs, unless it's Executive Management that was overpaid and contributed to the company's downfall. Those people should be made to repay their multi-million dollar paychecks and bonuses to the employees that worked diligently despite the idiotic and self-serving decisions upper management made.
 
  • #5


Actually, because of the changes to the student loan system, I can get my loans directly from the government... which, while corrupt, is less likely to raise my rates for no reason than, say, Bank of America.

And I know that none of the employees will be at the top, but when you're killing a plant, you got to start with the roots, right?

EDIT: I just realized that this statement could be taken as incendiary. Nevertheless, I do sometimes feel like that, that it's worth it that the employees lose their jobs if we can take out the CEOs and Directors. However, that'll never happen legally (they're all obscenely rich) so maybe we could just make them into social pariahs instead. Equate a bank CEO with evil. Hey, it'd be easy; they already seem that way.
 
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1. Why are there changes to student loans?

The changes to student loans are typically made in response to changing economic conditions, government policies, or to improve the loan program for borrowers.

2. Will current borrowers be affected by the changes?

Yes, current borrowers may be affected by the changes if they are still paying off their loans or plan to take out future loans. It is important to stay informed about any changes to your loan terms.

3. Are the changes beneficial for borrowers?

It depends on the specific changes being made. Some changes may make it easier for borrowers to repay their loans, while others may make it more difficult. It is important to carefully review the changes and understand how they may impact you.

4. Will the changes affect interest rates?

Changes to student loans may affect interest rates, but this is not always the case. Interest rates on student loans are influenced by a variety of factors, including the type of loan, the borrower's credit score, and the current economic climate.

5. How can I stay informed about changes to student loans?

You can stay informed about changes to student loans by regularly checking the websites of your loan servicers and the Department of Education. It may also be helpful to sign up for email or text alerts from your loan servicers to receive updates about changes.

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