An Idea for Student Loan Reform

$8 BILLION!
In the recent tax bill signed by President Obama, there were $8 billion in earmarks.

REFORM
My suggestion is for members of Congress to forgo the earmarks and use the money to buyout all existing loans and through the U.S. Department of Education restructure the loans to the original amount of the loan minus payments made to the principal and adding predetermined accrued simple interest since the time the loan was granted and set the loan at simple interest high enough to make the program self supporting and low enough to make higher payments on the principal.

This will result in a much better approval rate for Congress, be beneficial to constituents and improve the economy by having the loans repaid much earlier and making it possible for the purchase of luxury items.

A CALL TO ACTION
I ask all my blogging friends to send messages to their Senators and Representatives. Click here for a list of addresses for your Congressperson.

Tax Bill

With all the rhetoric about the importance of cutting our national deficit, Congress had the gall to add $8B in Pork Barrel projects to a tax bill and signed by President Obama into law.There should be a public outrage against such a reprehensible bill. That money could have been used for buying out all the student loans and restructure them at simple interest minus payments made and at a rate high enough to make the program self supporting and low enough for repaying the loans much sooner as explained in my recently published book, For A Better America:Observations, Insights, and A Plan for Action by A Ninety Five Year Old American, the theme of which is to motivate " We the people" to take a more active role in the affairs of government, available at Barnes and Noble. com.

Student Loans

According to news sources, more money is owed on student loans than on outstanding credit card debt.

One student borrowed $255,000 to become a doctor and upon graduation owed an outrageous $555,000. Students are in debt for most of their working lives. This is a disgraceful situation that needs to be changed.

So what's an alternative?

The Department of Education should grant student loans at a simple rate of interest-- high enough to make the program self supporting and low enough for students to make substantial payments on the principal.

This and more in my recently published book, For A Better America:Observations:Insights and A Plan for Action by A Ninety Five Year Old American available at Barnes and Noble.com

Social Security

I think it is terrible that changes are being considered for Social Security that will raise the retirement age, reduce benefits and cost of living increases.The answer is for the President to take Social Security OFF Budget when he makes his budget proposal for the next fiscal year. This will prevent Congress from raiding Social Security and using its funds for other purposes, thus denying or reducing benefits for Social Security recipients.