Sunday, November 19, 2017

Cutting Off Your Nose To Spite Your Face

States Suspend Professional Licenses for People Behind on Student Loan Payments:

Fall behind on your student loan payments, lose your job.
Few people realize that the loans they take out to pay for their education could eventually derail their careers. But in 19 states, government agencies can seize state-issued professional licenses from residents who default on their educational debts. Another state, South Dakota, suspends driver’s licenses, making it nearly impossible for people to get to work.
Georgia, incidentally, is one of the 19 that suspend professional licenses for debt collection.
As debt levels rise, creditors are taking increasingly tough actions to chase people who fall behind on student loans. Going after professional licenses stands out as especially punitive.
Not to mention counter intuitive and brain dead. On what planet does it make sense to take away the very means these people have to repay their debts for not repaying their debts? Other than these 19 idiotic states?
Firefighters, nurses, teachers, lawyers, massage therapists, barbers, psychologists and real estate brokers have all had their credentials suspended or revoked.
Determining the number of people who have lost their licenses is impossible because many state agencies and licensing boards don’t track the information. Public records requests by The New York Times identified at least 8,700 cases in which licenses were taken away or put at risk of suspension in recent years, although that tally almost certainly understates the true number.
With student debt levels soaring — the loans are now the largest source of household debt outside of mortgages — so are defaults. Lenders have always pursued delinquent borrowers: by filing lawsuits, garnishing their wages, putting liens on their property and seizing tax refunds. Blocking licenses is a more aggressive weapon, and states are using it on behalf of themselves and the federal government.
And here are the morons and their rationales:
Tennessee is one of the most aggressive states at revoking licenses, the records show. From 2012 to 2017, officials reported more than 5,400 people to professional licensing agencies. Many — nobody knows how many — lost their licenses. Some, like Ms. Otto, lost their careers.
“It’s an attention-getter,” said Peter Abernathy, chief aid and compliance officer for the Tennessee Student Assistance Corporation, a state-run commission that is responsible for enforcing the law. “They made a promise to the federal government that they would repay these funds. This is the last resort to get them back into payment.”
LOL. I'm not sure if this clown has been lobotomized or not, but read that sentence again: "the last resort to get them back into payment" by taking away the very license they need to make payments. Is this something unique to Tennessee logic or, no wait, it's elsewhere.
Two years ago, South Dakota ordered officials to withhold various licenses from people who owe the state money. Nearly 1,000 residents are barred from holding driver’s licenses because of debts owed to state universities, and 1,500 people are prohibited from getting hunting, fishing and camping permits.
“It’s been quite successful,” said Nathan Sanderson, the director of policy and operations for Gov. Dennis Daugaard. The state’s debt collection center — which pursues various debts, including overdue taxes and fines — has brought in $3.3 million since it opened last year. Much of that has flowed back to strapped towns and counties.
Uh huh. So this goof and the one above actually think it's "successful" and a "real attention-getter" (sic) because in some cases debt collections, unrelated to these actual license suspensions according to the Times, are up. 

Frankly, guys like this should lose their jobs and then spend some time rethinking their bottom-feeding "profession" and the lame rationales they use to defend it. Debt and tax collectors are part of a scummy industry that has a long history of such addled defenses like "someone has to do it" and "we're just following orders." Much like the Nuremberg defense, people have been trying to rationalize away this kind of behavior since, well, at least Biblical times. You'll recall, even back then, the only time Jesus allegedly got pissed and went ballistic was with the money changers and debt collectors. Not even the dudes who were crucifying him earned his wrath like the debt collectors did.

For thousands of years they have literally been the worst of the worst. But hey, keep rationalizing bro.
Sanderson countered that people did not have to pay off their debt to regain their licenses — entering into a payment plan was enough.
But those payment plans can be beyond some borrowers’ means.
Tabitha McArdle earned $48,000 when she started out as a teacher in Houston. A single mother, she couldn’t keep up with her monthly $800 student loan payments. In March, the Texas Education Agency put her on a list of 390 teachers whose certifications cannot be renewed until they make steady payments. She now has no license.
Randi Weingarten, president of the American Federation of Teachers, who has worked to overturn these laws, called them “tantamount to modern-day debtors’ prison.”
It's not tantamount to, it IS a debtor's prison.  

Look, I don't like people skipping out on their debts anymore than the next guy, particularly if they are going into hoc over things like credit card or gambling debts, or gaming the system via bankruptcy scams, etc. But student loans, frankly, should be forgiven, across the board, in one fell swoop. You want to jump start the economy? Forgive the more than $1.3 trillion in student loan debt which saddles more than 44 million Americans to an average debt of $37,000. Wipe it out and watch the economy explode in growth.

But you know why we won't? Because the U.S. continues to stand alone in the world for penalizing people who want to better themselves educationally. We are the only country on the planet that saddles people with crippling debt for the "crime" of wanting to get smarter and have brighter futures and careers. It disincentivizes education for millions who won't risk taking on the debt. And ultimately, it's just another form of social control that leads to vast uneducated masses who do what they're told (and vote accordingly). The one thing the power-elite fears the most in this country is an educated populace (and the subsequent revolution that might bring with it).

I know, I know, I can hear the "pull yourself up by your own bootstraps" crowd locking and loading right now: "that's a decision they made, why don't they work their way through school like I did, why should they get away with it?" Right, let's keep them just as uneducated and stupid as you are.

I enjoyed watching this exchange the other day, Senator Orrin Hatch lecturing his fellow senators over how back in his day, a hundred years ago, he worked as a janitor to pay his way through law school and didn't need "the damn government" to help him do it.  Classic. He forgot to mention he was on a full scholarship (socialism!) to law school and only swept halls at nights for beer money.

Frankly, you couldn't even qualify for a student loan to go to law school on what a janitor makes today, let alone pay for it outright. But this is the kind of bootstraps thinking that runs the country today when it comes to education and student loans (and healthcare and ...). 

And the fact that state governments are actively involved in denying people the right to work, because of student loan debt, makes medieval Dickensian England look modern and progressive. 

Jesus was right: there is a special place in hell for you debt collectors. See you there.

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