Banks Paying Colleges For Students Who Rack Up Credit Card Debt

[depakid]

Source: Huffington Post

Some of the nation's largest and most elite universities stand to gain millions of dollars from selling the names and addresses of students and alumni to credit card companies while granting the companies special access to school events, the Huffington Post Investigative Fund has found.

The schools and their alumni associations are entitled to receive payments that multiply as students use their cards. Some colleges can receive bonuses when students incur debt.

The little-known agreements have enriched schools and some banks at a time when young women and men already are borrowing at record levels, raising questions about whether such collegiate and corporate alliances are in the best interests of students.

"The fact that schools are getting paid for students to rack up debt is a disgrace," said congressman Patrick Murphy, a Pennsylvania Democrat and former professor at the U.S. Military Academy at West Point. He said that banks' payments to schools amount to "kickbacks."

Read more: http://www.huffingtonpost.com/2010/06/08/banks-paying-colleges-for_n_604109.html

[sakabatou]

1. Greedy bastards

[Newest Reality]

2. This practice will payoff in more ways than one

as we move into the future of debt here.

Consider a huge new crop of young citizens totally immersed in a quagmire of debt both from student loans and credit cards. Now add a collapsing economy where they are less likely to procure jobs or follow careers in order to pay off that debt. Now, imagine the full return of debtor's prisons and the potential results.

The payoff is the potential for forced labor so cheap that it can be called free; labor that is subsidized by the tax payers who take care of the yearly cost of housing those debt criminals while they work for the State and corporations. I mean, what a deal!

Do you really think that corporate Fascism will allow hundred of thousands of people to get away with not paying off their debt? Really? Notice how conveniently timed the bankruptcy reform bill was. Unless there is a dramatic change in this system, or it collapses, (which ever comes first but I have my bets on the latter) the owners will not just declare a Jubilee and unchain the wage/debt slaves.

The New Debtors’ Prisons
http://www.nytimes.com/2009/04/06/opinion/06mon4.html

Are Debtor Prisons Returning To America?
http://www.democracynow.org/2004/1/7/are_debtor_prisons_returning_to_america

[jotsy]

8. Enjoyed your response.

The chronological gap in the two articles made taking more of the whole thread in worthwhile, thanx.

[Newest Reality]

10. I am glad you did!

Thanks for your response.

[defendandprotect]

3. Could this system of capitalism be more foul and disgusting?

[SOS]

4. Credit Anstalt did not collapse until 1931.

Watch for a major bank collapse in Europe for this debt game to really explode.

What happens when we simply can't pay anymore?

The former middle class in a bread line? It has happened before...

[closeupready]

13. Western governments don't let their banks fail anymore.

So no, that won't happen. Lawmakers WILL use taxpayer dollars to bail out their campaign finance donors (i.e., banks), and pass legislation making it easier for banks to seize assets and garnish wages.

[Robbien]

5. Students being smothered by greed and corruption

Which makes them ready to accept the greed and corruption that goes on in their big business careers.

[femrap]

6. Higher Education is a bubble....

http://www.washingtonexaminer.com/opinion/columns/Sunday_Reflections/Higher-education_s-bubble-is-about-to-burst-95639354.html


I can't say that getting a higher ED today makes sense...

I remember reading that the future jobs that will be in demand were: Janitors, sales clerks, and food industry. Lawyers weren't up there at all.

[mahatmakanejeeves]

11. "... the future jobs that will be in demand...."

There's an app for that.

Occupational Outlook Quarterly

The 2008–18 job outlook in brief

Your tax dollars at work.

[Iowa]

12. In a previous line of work, I was familiar with the Occupational Outlook Handbook...

...familiar enough to know that it was known to be a complete joke. That piece of crap is one of the most useless documents in the history of mankind. Ask any person on the street about the future of any occupation and you'll get a more reliable answer.

[femrap]

14. Guess I'll

be a Home Aide...big demand. How fucking depressing. And Janitor wasn't in the index.

Or there was demand for Waste Water Treatment people. 'Get the poop outta the water' folks.

[jotsy]

7. An alliance designed to further enslave coming generations by making the stakes higher.

It seems the PTB believes this a proper method for getting our wage ladders in line with the rest of their working world. What scares is me is the possibility of that being a best case scenario.

The way their minds operate roll me with a rage I know I have to channel to the more positive purpose of seeing their agenda defeated.

I hit my rec button, thanks.

[Jennicut]

9. This has been going on for years. When I first got to college in 1994

there were credit card companies set up outside at tables on campus...just waiting to tempt naive young students. I got my first credit card at 18. Needless to say, at 34 I no longer use one. I learned the hard way.