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Friday, March 1, 2013

Wieckowski Helping Students Do Their Financial Homework With Bill Of Rights

ASSEMBLY//LEGISLATIVE UPDATE | College graduates saddled with enormous debt following is a growing problem in an economy with little remorse for their inability to find suitable employment to pay back creditors.

Alleviating this seemingly perverse divestment in young people’s future continues to be a major theme in Assemblyman Bob Wieckowski’s stack of bills offered this year. Four bills comprise what Wieckowski calls the “Student Bill of Rights.”

Rules for paying back federal loans have built-in safeguards protecting borrowers and allowing for deferments for those navigating troubling patches of financial turmoil. Loans offered by private lenders, however, have fewer protections. But, Wieckowski, who represents Fremont and portions south to San Jose, wants students to first be better prepared before they even sign loan documents.

AB 391 would require the state Department of Education to add curriculum standards helping students better understand basic financial matters, such as budgeting and saving their money, loans and credit, identity theft and options for paying for college. California is just one of four states that do not include instruction on personal finance, says Wieckowski.

The “Know Before You Owe Act,” AB 534, takes the next logical step placing federal requirements for understanding the terms of private student loans. Wieckowski hopes have students avoid situations where they unwittingly seek private loans with exorbitant interest rates without a basic understanding of the loan agreement.

Once entangled in debt from private loans, AB 233 would prevent wage garnishment eating away large chunks of their income. According to the bill, the action also encourages lenders to seek more lenient repayment plans with borrowers.

In addition, the “Financial Fresh $tart Act” is a joint resolution urging the President and Congress to allow student loan borrowers to discharge their debt in bankruptcy proceedings. Since 2005, those in Chapter 7 and 13 bankruptcy, can no longer seek to wipe clean their student loan debt.

1 comments :

By MW:

Since those who attend law school often end up with debts of from 100K to 200K by the time they graduate (NOTE: in recent years it has become the trend at many universities, and including the University of California, to charge drastically higher tuition to the students enrolled in the law school than the university does to most of its other students, and with law school students willing to pay that skyhigh tuition since they expect to make huge salaries once they become lawyers, and therefore their law schools have become cash cows to many universities), many law school gradautes end up with huge debts they will never be able to repay.

In other words the law schools, and in the hope of getting as many students as possible enrolled to pay their skyhigh tuition, lie like crazy about the future job prospects and income possibilities their graduates will have.

(Since at least virtually all of the deans, and at least the overwhelming majority of the teachers, at law schools are themselves lawyers, and since most lawyers are totally unprincipled professional pathological liars, therefore they lie like crazy to their applicants and students, and including about the supposedly fantastic future economic prospects their gradautes will have, and even though actually there is, and has been for at least a few years, an extreme oversupply of young lawyers. And as a result many young law school graduates will end up working for less than twenty dollars per hour, and in some cases for less than fifteen dolars an hour.)

The law schools also do not inform their applicants that: one, lawyers have far and away the highest rates of drug addiction of any major profession; and two, many of those drug addicted lawyers became drug addicts while attending law school.

In othe words the totally unprincipled pathological liars, con men, and snake oil salesmen who serve as deans at most law schools should be required to provide all of their applicants, and also the applicants' parents, and including since in many cases the parents will be paying at least a large porition of the student's tuition, with: one, real and actual employment and income possibilities for their graduates, and rather than lies; and two, the percentage of their studentws and graduates who become alcoholics and drug addicts.

Making such accurate statistics available would give considerable insight as to which law schools should be allowed to stay in business and which ones should be declared RICO violators and forced to go out of business.

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