3 chapters across the catalog
New data indicates that 40% of federal student loan borrowers are behind on payments or in default. The class of 2015 is identified as the most indebted in U.S. history, with an average debt of $35,000. The hosts argue that universities are part of a "scheme" to steal money and suggest that the government should forgive these debts rather than funding overseas reconstruction.
Janet Napolitano, University of California Tuition Protests
University of California President Janet Napolitano apologized after an open microphone caught her referring to student protesters' displays as "crap" during a regents' meeting. The students were protesting a proposed 5% annual tuition increase over five years, with some stripping to their underwear to highlight "student debt." Napolitano claimed the comment was directed at the nature of the protest rather than the students themselves.
Student loan interest rates are projected to double from 3.4% to 6.8% in July 2012 due to the expiration of a 2007 provision. This increase occurs despite Federal Reserve Chairman Ben Bernanke's commitment to near-zero interest rates through 2014. The discrepancy between cheap money for banks and high rates for students is identified as a potential new financial crisis.
