Student Debt Forgiveness -- June 5, 2022

See this Business Insider story.

A public - private solution.

Public -- federal loan debt assistance

• no longer called "debt forgiveness" but rather "debt assistance"
• all debts will be paid off 
• debts will be re-evaluated annually
• debts less than $100,000 will be paid off over ten years
• debts less than $200,000 but more than $100,000 will be paid off over twenty years
• debts less than $300,000 but more than $200,000 will be paid off over thirty years
  
• all student loans going forward are interest-free;
• all student loans going forward require monthly payments beginning at time loan is signed;
• for students with absolutely "no money," the university that accepted them will be required to make the monthly payments
  
• all loans with no-debt forgiveness clause. Period. Dot. No debt will ever be written off.
  
• all loans going forward based on Buffett-Munger-derived criteria.
• all loans only for those whose family's net worth is less than $5 million; threshold tied to annual inflation;
• US Congress will eliminate all interest on all loans going forward
• US Congress commitment: see below
  

Private -- debt "forgiveness"

• no true "debt forgiveness" -- all "current" debt will be re-paid
• only total debts between $50,000 and $300,000 will be considered
• only debts incurred by individuals whose net family worth is less than $5 million will be considered
  
• to qualify for "debt forgiveness" program, debt-holders must pay monthly debt payment (no exemptions); monthly amount to be determined by entity managing the program
• debt payments made by Forbes annual 500 wealthiest Americans and each US senator
  
•  each of Forbes annual 500 wealthiest Americans must sign on to "debt forgiveness" program or it won't go forward
• each of the 500 top athletes, active and non-active) must sign on to agreement
• each university athletic director must sign on to the agreement
  
• every university president must sign on to the agreement
  
• each US senator must sign on to "debt forgiveness" program or it won't go forward
• others may "cover" for those who refuse to participate
• e.g., if a US senator refuses, Warren Buffett can "cover" for him/her 
• any US senator who does not participate will not hold any committee position and will be censured by the US Senate
  
• non-partisan select committee to administer program
• non-partisan select committee would determine criteria for anyone seeking assistance
• non-partisan select committee would determine which loans qualify
• all proceedings secret
• debt assistance only for certain degrees; certain professions;
• unemployed not eligible for any loan-assistance, with exceptions; but monthly payments must continue to be met by someone;
  
• committee and debt-holders would be required to sign non-disclosure agreements
• anyone cheating on NDA would be removed from committee, or if a debt-holder, removed from the program
• even with "posted" parameters, no debt-holder guaranteed to be accepted
• selected current loans and all future loans will be paid off by the wealthiest Americans and US senators over a 30-year time period; the loan repayment program would be forward-rolling