Comments about ‘Study says private student loans parallel subprime’

Finally, someone issued the wake-up call to another even more volatile financial disaster than the home loan scandal. Student loans have no collateral to file on unless parents were dumb enough to put up their homes as collateral. Many financial experts have warned of this debt and now its becoming a problem because banks or government are not getting reimbursed for money sent to colleges.

Student loans are smaller than home loans but there a lot more of them and that is real. Any loans with collateral can't be collected because the economy is depressed with no one to buy low value tangible assets. Thus we have another financial crises of misappropriated funds and money that can't be collected. Debt funding debt is a dangerous economy and banking system.

According to "The 10 Commandments of Money", federal student loans can be forgiven if you work in a public service job and make payments for ten years.