When Unpaid Student Loan Bills Mean You Can No Longer Work

• As debt levels rise, creditors are taking increasingly tough actions to chase people who fall behind on student loans.
• In 19 states, government agencies can seize state-issued professional licenses from residents who default on their educational debts.
• South Dakota suspends driver's licenses, making it nearly impossible for people to get to work.

Few people realize that the loans they take out to pay for their education could eventually derail their careers. But in 19 states, government agencies can seize state-issued professional licenses from residents who default on their educational debts. Another state, South Dakota, suspends driver's licenses, making it nearly impossible for people to get to work.

As debt levels rise, creditors are taking increasingly tough actions to chase people who fall behind on student loans. Going after professional licenses stands out as especially punitive.

Firefighters, nurses, teachers, lawyers, massage therapists, barbers, psychologists and real estate brokers have all had their credentials suspended or revoked.

Proponents of the little-known state licensing laws say they are in taxpayers' interest. Many student loans are backed by guarantees by the state or federal government, which foot the bills if borrowers default. Faced with losing their licenses, the reasoning goes, debtors will find the money.

DYI:

Want to have the cost of education drop significantly?  I do and so do you!  End all student loans, government grants and subsidies.  The cost of education will drop like a brick thrown into the deep end of a swimming pool.  Why?  Basic economics 101!  You cannot price a product or service greater than your market can afford UNLESS you extend government sponsored debt.  The Universities/Colleges have a third party payer – Uncle Sam – willing to shovel more and more debt their way; hence constant increases in tuition and other related costs.  If as a nation the political will to end all loans, grants and subsidies higher educational costs would go back to working a part time job, a little help from Mom and Dad (or not at all) AND graduate in 4 years as opposed to 5 or 7 years which is becoming the norm.  Of course the graduate – or if they didn’t graduate – would be free of any student loans. 

Of course the Universities/Colleges will scream bloody murder just as all industries do when their subsidies are removed.  Making unfound claims that education will only be for the rich straight from the bull$hit economics department dispensing nothing more than propaganda – LIES!  There will be Universities and Colleges that will cater to all different economic classes from the very poor (with help from private charities) the different strata within the middle class to the very rich (Harvard and Yale).

Just as you have heard of corporate greed this is University/College greed whether private or State run. 

  DYI