Dummy with a Ph.D.

Laura String got her Ph.D. in psychology two years ago. Her student loan debt is $250,000. Under a program initiated by President Obama, String’s repayment on that quarter-million is $100 a month.

She says: “I wouldn’t know how I would pay it back otherwise.”

Pay it back? You are not paying it back. By what kind of math do you determine $100 a month will repay that loan?

Here is real math: Divide 250,000 by 100. What do you get? Now, divide that by 12. That gives you the number of years it will take to “repay” the loan, not including interest. (208.33 years.)

Will a lending institution receive the money it loaned String? Well, yes, when you consider the U.S. government the repayer. But wait! The government itself has no income. So who will repay the majority of String’s loan?

Answer: Look in a mirror.

http://www.msn.com/en-us/money/careersandeducation/student-borrowers-get-a-sweet-deal-and-taxpayers-get-the-bill/ar-BBlsaiu?ocid=HPCDHP