Opportunity Knocks

Until what? Until what?

Until I was handed the mic to talk to Secretary Duncan. But before I give away all the tidbits related to that, this opportunity almost slipped past me.

As I mentioned, I shot my hand up as soon as Sec. Duncan began to take questions. Even though I was sitting in the front row, I was seated off to the side and the volunteers who were helping hand out mics kept missing me. After each question, I anxiously raised mine again and tried to get the attention of one of the mic holders. No such luck! Sec. Duncan took four questions, and then he said, "I can only take one more." By that time a lovely, curly-haired woman in a sharp, gray suit stood behind me with a mic. She whispered, "we'll get to you next."

Yes! Yes! I thought. Don't blow this, Cryn! You have a lot of people to represent. Be calm. Be calm . . . You're gonna do well.

I looked at all the notes I'd been writing furiously. I flipped through Rob's proposal again, a document that I had now gone over for the thousandth time this week. I was prepared to start with an introduction that included six statistics:

(1) This academic year (2009-2010), there will approximately 6.9 million students borrowing for school

(2) There were nearly $131 billion in outstanding private loans in 2008. In addition, there is $544 billion in outstanding federal loans for fiscal year 2009, up from $502 billion in 2008, and that's according to the Department of Education

(3) The average debts of students graduating with loans rose from $18,796 in 2006 to $20,098 in 2007, according to the Project on Student Debt (so you, dear reader, are aware, the Project on Student Debt is staffed by employees of TICAS.org. TICAS was founded by Robert Shireman who is now the  Deputy Undersecretary of Education). Since student lending is inflationary (i.e., whether the overall economy is inflationary or deflationary student borrowing continues to go up), the average debt now is estimated at $23,000! (According to some education policy experts this amount of debt is reasonable. They also argue that borrowing for college is sensible. I bet my readers and thousands and thousands of people who belong to the FSLDM would beg to differ with those number crunchers. But I digress . . .)

(4) 2/3 of students borrow money for their college education

(5) Loans this past year (2008-09 academic year) grew around 25% to $75.1 billion*

(6) Our membership is now well over 228,000 individuals!

The curly-haired, sharply dressed woman whispered, "You're up next . . ." But just as she said that, Mr. Duncan said, "no more questions after this one."

Across the hall, a young woman stood up and began to speak about the abysmal pay that K-12 teachers earn. She was well-spoken and made a point to say that she has a sister who's a teacher and living at home.

Yes! I thought. If I was able to speak, I would say something about how it's not only teachers who are living at home, but all sorts of professionals. It's related to a larger issue: student loan debt! 

I sighed and told the curly-haired volunteer, "Oh, I'm so disappointed."

She replied sympathetically, "he is on such a tight schedule. He can only take so many questions."

"I know. I know . . ." I shook my head in disappointment and closed up my notebooks. "Maybe next time," I muttered.

But then something - in my mind - miraculous happened. Sec. Duncan agreed to take one more question. The volunteer tapped my shoulder and said, "You'll need to stand up to speak to him."

The cameramen, who are just a few feet away from me, swirled the camera around to tape me. I took the mic, tried to contain my nervousness and excitement. (Is anyone noticing that I'm shaking? I worried).

But now was the time for me to speak on behalf of hundreds of thousands of people (perhaps millions). I stood up, a light shined brightly upon me, and I began to speak:

"Secretary Duncan . . . first off, I want to say that I was one of the many who voted for change. . . . I could throw statistics at you, but we both know those statistics. Let me introduce myself," I said. The large crowd seemed frozen and painfully silent.

"My name is Cryn Johannsen, and I am the promotional writer for Robert Applebaum's Forgive Student Loan Debt Movement. We're asking for a bail . . . not a bailout, we're asking for help with this student lending crisis. There are too many student burdened with debt. Our group has well over 228,000 supporters. Robert and I receive terrible stories from people who are in really bad financial situations as a result of their loan debt. You're familiar with these stories, too. I've also reached out to the Reverend Jesse Jackson. I know that this issue concerns him, too. Mr. Applebaum's proposal makes a lot of sense, and is in line with Main Street ideas. It is my hope that you will be willing to sit down with us to discuss this proposal
further . . ."

There are two things that I found encouraging about Duncan's response and the way he responded when I stated who I was there to represent:

(a) When I mentioned the FSLDM's name, he seemed to be familiar with it. (Guess what that means? Many of you must be writing letters to him like I am!).

(b) His response was genuine and sympathetic. He recognized that it's a problem. However, I am not entirely convinced that the solutions he mentioned, i.e.,  the new IBR program , the change in Pell Grants, and the possibility of having one's loans forgiven (after - *gasp* - 10 years) if they go into a line of work that is of service to the nation.

What matters is that I was at a large gathering in D.C. and went on behalf of all of you. I was able to speak directly to Sec. Duncan. Afterward, many people came up to me and thanked me for what I said. One older woman from the "B" School told me, "I wish your group had been around when I got my MBA!"

The positive reaction from fellow University of Chicago alumni was just as uplifting as my chance to speak to Sec. Arne Duncan. After all, Chicago has a reputation for being conservative. (I won't bore you with the long list of the neocons from Chicago who informed Bush's decision to invade Iraq and so forth). Plus, many of the people with whom I spoke were older, and yet they understood the significance of our movement. One person told me, after I mentioned that many educated individuals are fleeing the country for better paying jobs, "that's called a brain drain."

So what do I now ask of all of you?

Please write to Secretary Arne Duncan. (His address is: U.S. Department of Education, 400 Maryland Avenue, SW, Washington, D.C. 20202)

Let him know that you heard I spoke to him, and you are writing to urge him to listen to Robert's proposal. Tell him that he has the power now to change things for hundreds of thousands, probably millions, of educated, middle-class people who are currently stuck in a financial debt hell. Share your personal stories about the things you dream to have - a home, a car, a child - but cannot as a result of the crushing debt you accrued as a result of going to college. You never cease to move me with your personal stories of struggle. (Most days I cry after reading about your travails, and that emotion moves me to work even harder, to write even more letters, and to debate for a good cause).


* Note to a unprofessional critic of mine: loan volume, average borrowing, cumulative debt may be different calculations. However they should all reconcile in some fashion when taking into account enrollment changes, prices, years, and what kinds of loans are included and which not. The Education Department seems to include more types of loans than, for instance, the College Board.


But these particularities don't matter. I've made my arguments clear and I am far from being "untruthful." Furthermore, I would never have a so-called friend attack someone and call them a "cult leader" and an "egotist." Fact remains: I'm on the right side of this mission. None of this "stuff," however, matters. After all, I am ill-informed and just contribute to "blog chatter." 

Setting the scene, and an emissary's errand - attending the University of Chicago's education reform panel

I attended the University of Chicago's forum on education reform on behalf of FSLDM supporters and as an alumna of the school (A.M. '02) last night at the Andrew W. Mellon Auditorium at 1301 Constitution Ave NW in Washington, D.C.  This event, hosted by President Robert Zimmer, was called "Chicago Contributes." A panel of education policy experts, moderated by the well-known broadcast journalist Ray Suarez (who, like me, holds an A.M. in the social sciences from Chicago) , discussed issues relating to urban education and improving things at the k-12 levels. Incidentally, earlier in the afternoon the forum also included a panel that covered health care reform, and the honorary speaker for that talk was Secretary of Health and Human Services Kathleen Sebelius (she hails from my home state - Kansas. Hoorah!).

As most of you already know, the honorary speaker for the panel on education reform was none other than Secretary of Education Arne Duncan. We need to get his attention, and that was my intent as your emissary. My mission: to introduce myself and to promote our movement! Although the focus was primarily on pre-k and k-12 education reform, Secretary Duncan and the panelists made some passing references to university education. The most notable remark was when Secretary Duncan stated, "President Obama has a goal that by 2020 we have a higher percentage of college graduates than we do now." (Obama is calling on all Americans to attend at least 1 year of college, and that's why they are focused on initiatives to help community colleges retain students, as Duncan mentioned last night). 

Later in the evening, Obama's Senior Advisor David Axelrod gave a talk about policy endeavors for the future, and mentioned the successes he sees they've had thus far as a new administration. During his talk over cocktails and hors d'oeuvres, Mr. Axelrod made it clear that these two issues - education reform and health care reform - are top priorities for the Obama administration. Keep this comment in mind folks - their attention to education reform and - I hope - their willingness to listen to our appeal makes it all the more critical for us to begin mobilizing this extraordinary grassroots movement. Therefore Rob and I say: let's turn the FSLDM into an actual lobbying group for the welfare of higher education students! There is no doubt, we have a narrow window of time to succeed, so we must act fast to demand change. 

But before I jump to the details about the end of the evening and to the end point of this fledgling, yet increasingly robust grassroots movement (after all, we're just gettin' started, and we're just gettin' y'all fired up!), I must begin with the first steps of my somewhat comical journey to this event.

Getting to the actual event was a comedy of sorts. Although at the time, I was not finding myself, apparently, as lead clown all that funny. The universe was playing many tricks on me yesterday, and somebody, somewhere, was laughing up a storm. (If I had been on stilts, it would have been even funnier). First, I  struggled to find a parking spot that was (a) actually affordable, (b) not in a tow zone,  and (c) reserved for tourist buses only. I also realized upon my trip to downtown D.C. that my wallet was not in my business bag. Said wallet contained money that would have allowed me to park in obscenely overpriced parking garages near the National Mall. I drove in circles trying to find that perfect space that was (a) free and (b) not located in a tow zone. No such luck. Filled with disappointment and embarrassment, I pulled into yet another unaffordable parking garage. I called my husband and within a few short minutes of brainstorming we solved the problem. Wallet was received from a friend who was commuting from where we live in NOVA to D.C. That friend saved the day!

At the conclusion of the one act play called, The Drama of Cryn's Missing Wallet, I jogged in heels down 13th and Pennsylvania Ave to Constitution Ave (I have Nordstrom to thank for teaching me how to run in heels), and arrived at my destination. With just 2 minutes to spare, I registered and received my name tag. But none of this could have happened without Robert Applebaum's support. In fact, I told Rob about this event a week ago, and considered paying to attend out of my own pocket. Before I made that decision Robert solved the problem.

After I'd sent him an email about my longing to go, he quickly wrote back, "done."

With the small amount of funds he's received, Robert graciously offered to send me to attend this $75 event. That is further evidence of his commitment to this cause and to our professional and personal relationship. *Please make sure to thank Rob for sending me to this event to be a representative of all supporters of the FSLDM.*

Although I wanted to bring up the frustrating fact that recently Sallie Mae and Nelnet won 5-year contracting bids to service all federally guaranteed loans, I realized that wouldn't be doing us any favors . . . I had a strategy, but I had to wait.

President Zimmer introduced all the panelists, Ray Suarez, and finally Secretary Duncan. The large crowd stood up and clapped for several minutes upon his entrance into the grand hall. I sat at the very front of the crowd, just a few feet from the panelists and Mr. Duncan.

Mr. Duncan gave a good speech. Then it was time for question and answer. I raised my hand as soon as they opened the floor for questions, and I almost lost my chance to speak to him directly. That's until . . .

United Professionals does it again: They posted about Robert Applebaum's incredible grassroots movement!

United Professionals also posted about Robert Applebaum - many, many thanks again to this great group of people!

WRITE TO MICHAEL MOORE - ASK HIM TO COVER THIS STORY AND HELP ALL OF US OUT!

I just wrote a pitch to Michael Moore. It is safe to assume that many of you will agree with my decision to reach out to him - I think this story and your stories will interest him. But in order to really get his attention, I'm asking that each and every one of you write him a quick email (mike@michaelmoore.com). Let him know why this crisis ought to be discussed and covered in a documentary. Aaaaah, come on, I'm only askin' for another two minutes of your time. Plus, it's for our cause and it's patriotic!

Thanks again, everyone!

My email to Michael Moore (written Sept. 2, 2009 at 11:34 AM EST):

My name is Ms. C. Cryn Johannsen, and I am the promotional writer and marketer for Robert Applebaum's Forgive Student Loan Debt Movement.

If you are not familiar with this movement, I'll provide you a quick history.

Like many Americans, Robert, a NYC attorney, was frustrated by the bailout of the banks and all of Wall St. (the exact people who got us into trouble) in January. He decided to create a Facebook group and called it "Cancel Student Loan Debt to Stimulate the Economy." Robert had no idea that this group would end up becoming such a Facebook hit! As of September 2, 2009 at 10:36 PM (EST), we have a membership of 227, 547 individuals.

I think this story is something that might pique your interest.

It is clear that the student lending industry (mind you, the Department of Education and Universities are also culpable), are bilking students for all their worth. The scandals are so numerous, that one former Dept. of Ed. employee (who, mind you, had been nominated to work for them by Bush and is writing a book about this debacle) said, "Oh, there are too many scandals to count."

This man, Dr. Mark Schneider, is burned and seems hopeless about the situation. Even though we have significant political differences, one thing is clear: we both care about students and agree that the student lending industry is in shambles.

I would like to share more with you about my disturbing findings this crisis - very few Americans know that they are victims of a scandalous lending system. For the meantime, you can visit the following sites - if you're interested - to learn more about our movement. (I have a full-time job and am doing this work as a volunteer. It is a cause in which I believe, and I hope that you might be willing to speak to us about it).

Related Sites:

Robert Applebaum's site: http://www.forgivestudentloandebt.com/

My blog, Education Matters:http://alleducationmatters.blogspot.com/

Finally, are you aware that the student lending industry possesses the second strongest lobbying groups in D.C.?

I hope you reach out to us - we need to promote this critical problem.

As I say, America has created a new class - the indentured educated class. I believe that the middle class is an endangered species. (We can't even begin to discuss what this industry is doing to the lower-classes). I have reliable sources and hope that you'll talk to me about it.

Sincerely,

Ms. C. Cryn Johannsen

Sticky Notes on the Stats - Robert Applebaum's Facebook Page

First, we have a drum roll (!!), followed by New Year's eve sounds - corks from champagne bottles go POP!, silly horns go BEEP!, cheering crowds say HOORAH! - and then all is quiet.

Cryn steps up to the microphone. The room's ceiling holds nets of balloons.

"Ladies and Gentlemen," I say. The microphone squeals for a moment, but I quickly fix it to spare your already bleeding ears.

"Ladies and Gentlemen," I say again. No squealing this time.

"As of August 29, 2009 at 10:16 A.M. (EST) Robert Applebaum's Forgive Student Loan Movement 
membership is at . . . 226,885!"

Balloons fall, more champagne bottles are opened, and we all celebrate the holiday!

However, I interrupt all of you for a moment. This large crowd filled with so many of you out there (!!) - students (over the age of 21), waiters, bartenders, lawyers, artists, accountants, biologists, automotive mechanics, historians, economics, and so on - somehow quiet down.

"Ladies and Gentlemen, I will allow you to resume your celebrating this evening. But there is still much work to be done. I hereby challenge all of you to recruit at least one if not two people to join our cause! It is our goal to reach 500,000 members within 3 weeks. Can we do this? Can we recruit?"

In unison you all yell: "YES!"

Let's DO IT!

ANOTHER CALL FOR IMMEDIATE ACTION and my letter to President Obama

I've written several letters to President Obama (I've sent them via email here and by regular post). Here's my letter for this hot and humid day in D.C,. and on a day of continued reflection about the loss of a critical Democratic figure.

Ms. C. Cryn Johannsen

Promotional Writer and Marketer for Robert Applebaum’s Forgive Student Loan Debt Movement

E: ccrynjohannsen@gmail.com

Applebaum’s Site: http://www.forgivestudentloandebt.com/

Education Matters: http://alleducationmatters.blogspot.com/

August 27, 2009

President Barack Obama

The White House
1600 Pennsylvania Avenue NW
Washington, DC 20500

RE: Please help us, President Obama!

Dear President Obama:

I realize that you are dealing with the significant fight for healthcare reform, and I fear that if you lose your standing in that situation, you will be railroaded by other powerful lobbyists – I hope that won’t happen and firmly believe in a public option.  I am also aware that the student lending industry is one of the most powerful groups on the Hill. If memory serves me, it is the second most powerful lobbying group behind that of lobbying groups for defense contractors.

I also realize that many of us are mourning the loss of an important man who represented the best aspects of the Democratic Party’s ideals (the fight for equal rights, for laborers, for education, and so forth) – the Honorable Senator Ted Kennedy. It was my hope that he would have maybe be a politician we - the Forgive Student Loan Debt Movement - could have reached out to for help. I know that Senator Kennedy was very sympathetic to things related to education. More than that, however, it is a national loss, and I am sure that you are going through a period of deep reflection. You lost not only a powerful force in your party, but also a friend. Please allow me to express my sincerest condolences – I have already said several prayers for the Kennedy family and will make a point to say a public prayer for him at Mass this coming Saturday in Arlington, VA.  

I have written you several letters about the student loan debt movement, and am following-up again. I know that you receive millions of letters, but I beg you to respond to this one. The Forgive Student Loan Movement continues to grow – the Facebook group is, as of August 25, at 7:27 a.m. EST, 226,544+ members! Isn’t that something?

Furthermore, Mr. Applebaum, the Founder and Executive Director of the Forgive Student Loan Debt Movement, was interviewed yesterday (August 26, 2009) by a reporter for CNN.com, and I will be speaking to a local NPR reporter for WAMU about my own involvement in the movement on Friday, August 27, 2009. With my continued ardent support, I’ve taken on a new role as the de facto promotional writer and marketer for Mr. Applebaum’s movement.

In addition to the press expressing an interest in our grassroots movement (here’s to being a community organizer, right?), I have also reached out to city, state, and local politicians. Did you hear about the Albany’s City Council unanimous passing of the resolution that asks Washington to forgive student loan debt? I spoke to the main supporter of this resolution, Albany City Councilman James Sano, a few weeks ago. He’s a very engaging fellow and has deep concerns about this current situation.

I blogged about it here: http://alleducationmatters.blogspot.com/2009/08/nyt-covers-albany.html

A few days later, The New York Times picked up the story here: (http://thechoice.blogs.nytimes.com/2009/08/18/forgiveness-2/). I encourage your staffers to read the comments.

What do you think about that? I beat them to the story. I may be small at the moment, but I am like the little engine that could, so I’m confident that my readership will continue to grow.

On top of that, I’ve also reached out to Senator Dick Durbin (please find that letter enclosed) and Delegate David Poisson (32^nd District, Loudon County, VA). Dr. Poisson holds a Ph.D. and a J.D., and he expressed concern about the student lending crisis when I corresponded with him via email a few Sundays ago. Obviously education is something that matters a lot to Delegate Poisson. He told me to keep up the good work. Since David is up for re-election I will be canvassing to help him out. I have yet to hear from Senator Dick Durbin. (It sure is hard to get the attention of folks on the Hill and in the White House, isn’t it?).

In any event, I urge you to make the right decision about this situation that is threatening the very fabric of our educational system.  When I canvassed for you, attended your rallies, and finally cast my vote for you, I was supporting and voting for change. I was under the impression that that meant real change was a’ comin’. At this point, and I realize you’ve only been in Office for a short time, my strong support is beginning to waver. I do not say that as a threat, a sort of cheap “I’m takin’ my vote away” cry, but am expressing it from a place of deep sadness.

When I was a young girl growing up in Kansas – I suppose I was right around 7 – I wrote a letter with crayons of course (!!) to President Reagan, and expressed my concern about the endangered animals in Africa. (I was already an animal lover then, and continue to be to this day). I remember so vividly that day when I received a letter back from him!  The envelope was so thick and official, and I recall ripping it up with a great deal of excitement. Granted, it was a form letter, but it was STILL a letter! I am sure your staff and others could argue: “Mr. Obama receives far more letter than President Reagan did, so it’s very difficult for him to answer each and every one.” Or perhaps staffers thought my letter quite cute, so they actually responded because I was just a sweet, little girl.

Either of those theories may be true. However, I am no longer a little girl from Kansas, but a young, adult woman who is writing to you about critical issues – indeed, the student lending crisis is of national concern. The more investigative work I do, the more evidence I am finding that this industry is based upon predatory lending practices. (There are probably hundreds, if not thousands, of cases of civil fraud too – that’s my hunch).

As I see it, all the critical issues this country currently faces – healthcare reform, the role we’re playing in Iraq and Afghanistan, etc. – requires a good deal of knowledge and the ability to think analytically on the part of citizens and lawmakers (many elected officials and their constituents are revealing how they are sorely lacking in both of these areas). It seems obvious to me that many Americans are not only ill-informed about the healthcare debate, but utterly lacking in critical thinking skills that are so necessary to understand this debate.  I mean, many of my fellow citizens believe what Palin said about death panels, and I don’t think Palin obtained the best abilities to think critically from the 6 higher education institutions she attended – perhaps she is just an anomaly.  I tend to think she is representative of a large portion of this population. These are the same types of people, in my view, who have been painting despicable toothbrush moustaches on your face! Having been a Ph.D. student who had studied the Nazis, I find this on par with those who deny the events of the Holocaust and have no capacity to even begin to understand its historical significance. In my view, what these few points show: public education is deeply flawed, if not entirely broken.

It used to be that a person could get a High School Diploma and be able to write and think, and get a decent job. (My lovely mother-in-law “only” received a H.S. Diploma in Humboldt, Nebraska. Humboldt was and still is a tiny little town, surrounded by a sea of wheat. That image reminds me of the wonderful ads about your mother’s upbringing in Kansas. In any event, my mother-in-law is one of the most intelligent and well-written people I know. Seems her high school training paid off!). Nowadays, a High School Diploma gets you a job, if you’re lucky, at McDonald’s. Although, I wager that in Washington, D.C., a McDonald’s probably requires at least one master’s in public policy or political science!

But in all seriousness, that’s where higher education comes into play. In order to even be considered a “real” contender in the U.S. job market, you must in the very least have a 4-year degree.  In many fields, as you know, even that doesn’t suffice. So, what does that mean and what do we believe as young, aspiring Americans? We believe (some of us now think that utter hogwash, really) that in order to forge a better path for our futures, we must attend colleges or universities. We believe that by taking out loans – because it’s virtually impossible to obtain a degree without financial assistance these days, and don’t believe surveys put out by Sallie Mae (!!) – that we are making an investment in our future.

Mr. President, I have news for you, students aren’t reaping the benefits of obtaining degrees. It doesn’t matter if they went to school for a degree in the humanities or to obtain a degree in business. With said degree in hand, they leave with high hopes, but those hopes along with dreams are being dashed as a result of this Great Recession. Many of these students are moving back into the basements of their parents’ home. They are demoralized and frustrated. These young graduates have so much to offer (as do the ones, like me, who hold advanced degrees and have been out in the world for while). Yet they can’t find work. There is something even worse: they are burdened with student loan debt that is being run by a corrupted, broken system. Companies like Sallie Mae refuse to work with these lenders. (A whistle-blower on a PBS show – Student Loan Sinkhole (http://www.pbs.org/now/shows/525/) – who worked for Sallie Mae discussed the unethical practices he saw occurring on a daily basis. Incidentally, Sallie Mae fired him).

This country, for a number of complex reasons, has created an indentured educated class. Again, I’m begging you to help us! DO NOT ALLOW LENDERS TO LEAD YOU ASTRAY FROM THE ADMIRABLE CONVICTIONS YOU HOLD!

Finally, I know that Secretary Arne Duncan has the power to change things in the Department of Education.  Is he aware of his power to change things? Indeed, he has the power to change things for the better. This industry has never been regulated, but now is the time. I also know that the DOE is filled with people who had worked for Sallie Mae and other student lenders. Don’t you see that as an obvious conflict of interest? It is obvious to me that the DOE is not upholding its commitment to those who need it most – the students. It is obvious to me that people who are intent on defending the lenders have burrowed their way into this governmental entity. It is obvious to me that Arne Duncan needs to, for lack of a better term, clean house. Why doesn’t he hire someone like me? I’d be more than happy to assist in cleaning house and also carry out some analyst work on the side.

Thank you again for your time.

I look forward to hearing back from you, and I hope we don’t have to continue along this line – your silence saddens me. The art of exchange depends upon reciprocity.

Finally, I have posted this letter to my blog and am urging my readers to reach out to you too.

Respectfully,

Ms. C. Cryn Johannsen

  

Encls.

cc: Robert Applebaum, Executive Director and Founder, Forgive Student Loan Debt

     Mr. Amit Paley, Washington Post

     Ms. Lauren Asher, The Institute for College Access & Success

     Mr. Kojo Nnamdi

Please write to the President, your representatives, your newspapers! Thanks for all of your support. 

This is an Applebaum Newsflash! WE NEED YOUR HELP!

One of Applebaum's supporters wrote this post today:


Robert just finished speaking with a reporter for cnn.com who's writing a story on student loans. She asked Robert to help her find some people with PRIVATE student loan horror stories to share. If you have one and would be willing to be interviewed for a story to be published on cnn.com, please email Robert IMMEDIATELY at mail@forgivestudentloandebt.com.

So, readers, I ask that you write to Robert and share your PRIVATE student loan horror stories. Take action now!

CALL TO ACTION: Write to Kai Ryssdal and Marketplace - ask them to do a show about Robert Applebaum's Forgive Student Loan Debt Movement!

I wrote to Kai Ryssdal, the host of Marketplace and asked him to do a show on the Student Loan Debt Crisis. I encourage all of you to do the same. (If you would be willing to share your letters, please post them to the comments. I'd be very grateful!)

First things first, so here's basic contact information to send your witty emails:

I sent Kai a letter to this email: commentary@marketplace.org

I also pitched the story and sent it to this address: pitches@marketplace.org

As you will see, when I wrote to Kai, I also pasted my original pitch for his perusal. I've done the same below for the sake of simplicity.

MY LETTER TO KAI RYSSDAL

Dear Kai and E-mail Reading Assistant(s) to Kai,

I hate to even use this term, but you rank among my most favorite, uh, radio personalities. Are you really just a radio personality? I think not!

Normally, I don't use a first-name salutation unless I am really good friends with the person or they are a family member. (The latter group, oftentimes, receives affixed titles such as "Uncle," or "Aunt," or "G-ma." But you get my point). In any event, you and your listeners are aware that you have a delightful sense of humor and a sharp wit - that's why I thought I'd just call you Kai. I hope you don't mind.

Since we're on a first name basis, allow me to introduce myself as such. My name is Cryn, and I am a promotional writer and marketer for Robert Applebaum's Forgive Student Loan Debt Movement. I am also a blogger about the student lending crisis - here's my blog: Education Matters. Forgive Student Loan Debt Movement, started in January 2009 on Facebook, has, as of 10:39 EST on Saturday, August, 22nd, grown to 225,725 members!

Here's the link to the Facebook group and here's a link to Applebaum's site.The movement, however, is not just restricted to the internet. I am a D.C. resident (truth be told, I live in NOVA), so I am taking my efforts to the Hill. I have already had a few conversations with city and state politicians about the movement and Applebaum's proposal to forgive student loan debt. Now is the time to do some old-fashioned grassroots promoting and head up to the Hill and wait in some offices. I'm sure I'll be getting to know some staffers very well in the next coming months, and I look forward to eating cafeteria food alone and reading lots of books. (I think that's why we still have books around - it allows us lunch loners to read and eat without the risk of looking pathetic. It helps all the possible onlookers with lunch partners too. If we lunch loners have a book, they don't take pity upon us).

I pitched your Pitch Office too (pasted pithy pitch below).

I try to be a bit witty myself, but this movement is dead serious. We need your help, Kai! We need you to do a story about this movement! You do an excellent job of reporting about serious issues in a humorous way. Nevertheless, these are issues that matter to your listeners, and they understand the reasons for your delivery. (I studied humor and laughter as a Ph.D. student at Brown, so I've studied these tactics used during the Reformation and so forth).

Thank you for your time and consideration.

Respectfully,
Ms. C. Cryn Johannsen
Promotional Writer and Marketer, Forgive Student Loan Debt

----------------------------------------------------------------------------
MY PITCH

Dear Marketplace Friends:

Clearly, you never receive pitches, and I'm glad to be the first one.

Anyhow, I got a great story idea. It's a tale about a guy named Robert Applebaum. You see, he's gotten a whole lot of powerful people and their lobbying friends inside the beltway in a tizzy. (I am proud to say that I'm part of that effort and have been debating heavily with analysts at the College Board over the past few days). But what's this tale all about? It's about the student loan crisis. The College Board was recently written about in an article entitled, "Is Student Loan Debt Really a Problem." That story has not been very popular. The link below will lead you to the outraged public. In that story, two people from the College Board, Patricia Steele and Sandra Baum, argued that the stories circulating around the putative "student loan crisis" are sensationalistic.

http://www.usnews.com/articles/business/paying-for-college/2009/08/12/is-student-debt-really-a-problem/comments/

I was one of the first to alert Robert Applebaum, the Founder and Executive Director of the Forgive Student Loan Debt Movement, and he let his supporters know about this article. This article is not the first to be published on the topic. In fact, if you take a look at Applebaum's website here, you'll see that he's posted related pieces. The posters have similar things (there are those who are totally against it too) to say. The ones who support this movement tell their stories of what they owe and how they have decided not to have children, how they can't buy homes, cars - simple things. The haters tell those people that they were "irresponsible" for deciding to go to school. The haters call the debtors "brats," "snobs," etc. As you can see, it's a heated topic.

I also have a blog that's related to education here.

So, you're out of ideas for your next show. I'm the FIRST person to ever suggest a show. Whaddya think? Do you want to do a show on the student lending crisis? It's a hot topic, and it keeps getting hotter . . .

Sincerely,

Ms. C. Cryn Johannsen
Promotional Writer and Marketer, Forgive Student Loan Debt Movement (225,725 supporters and growing!)

Quod Est Veritas? Why isn't the Department of Education Putting Out Any Reports on Student Loan Debt?

So, I've been thinking about that data that was presented by the College Board in that frustrating article by Kim Clark. They manipulated the data coming from the NPSAS . We all know that. But I've been pondering things that are connected to journalism and integrity. I guess I'm old-fashioned, but I believe in transparency and honesty. The more I dig into this whole student lending disaster and dissect those who have the money, power, and the most awesome-est lobbyists around (not to mention the problematic and sloppy role that the DOE plays in this whole game as well as the senators whose pockets get lined by these nasty lenders, the universities and the benefits they reap from these folks, etc.) the more I realize I am old-school - I believe in ethics and admire a G-man like Jon Oberg. It also seems that journalists have forgotten things like integrity and transparency. However, sleepless nights lead you to gold mines on the internet - rest assured, dear readers, I have MUCH more to share. I am committing myself to the role of a watchdog, because those students and families who are really struggling (the sick, the destitute, and so forth) deserve to have a voice. As long as I can holler and put forth truths, I'll be here for those people.

There are two things that are important to know about why my thinking is troubled. (That doesn't mean it's fuzzy. Quite the contrary - it's crystal clear).

1) Why didn't Kim Clark tell her readers about the history of the College Board, i.e., that it had been a LENDER until 2007? I think that's important information to mention as a reporter, don't you think so too? Instead, Ms. Clark described them as "an organization for colleges." Hmmmm. What does that mean? For those of you already following me, you've heard my critiques and agreed. In short, I ask: where is Ms. Clark's journalistic integrity? Why wouldn't U.S. News and World Report state the objective facts?

2) Also, why hasn't the Department of Education put out a REPORT about student lending debt? Why won't the DOE do their OWN analysis of this data? Instead it is farmed out to the College Board who manipulate that data, as I mentioned above, and convince us that the student lending crisis isn't a big deal. Oh, wait, I'm sorry, it's all been SENSATIONALIZED, as Patricia Steele, claimed. (News Alert to those folks: IT FAILED to convince most of the readers, and don't even TRY and make that argument that we're all a bunch of ill-informed individuals who didn't bother reading the actual report. Ganz falsch. Entirely false).

I also don't understand why the NYT hasn't done fuller pieces about Applebaum and Collinge. This movement CLEARLY has traction. In fact, Applebaum's movement has surpassed 225,000 supporters on Facebook! That's fantastic, so why aren't these reporters doing more stories about Applebaum, Collinge, and blogs like this one? Does it not matter to them?

Reaching Out To Concerned Citizens: My Conversation with the Honorable James Sano, 9th Ward Councilman of Albany NY

Jim Sano met with Alan Collinge and supporters of Student Loan Justice on August 12, 2009. Jim Sano is the 9th ward Councilman for the city of Albany, NY. New York Representative Paul Tonko (D-21st District of NY) attended the meeting as well.



Collinge posted information on how this meeting went on Facebook. He wrote, "This is the first piece of legislation, city, state, or federal, to call for a meaningul [sic] reform of the, student loan system. StudentLoanJustice.Org applauds Jim Sano, City of Albany, NY, for this bold move."



I wrote to Sano yesterday morning (Sunday) and introduced myself. I told him I was a blogger and also a promotional writer for Robert Applebaum's movement (we're almost, almost nearing 225,00 members too!). Sano wrote me back in less than five minutes. He sent me the resolution (see below) and offered to speak to me later in the evening. (There's serious government interest, if you ask me!)



Sano learned about this movement from his daughter who is currently in graduate school. In fact, Sano has two daughters and both of them have undergraduate degrees. In a word, with two daughters who have obtained degrees, and one working on an advanced degree, Sano understands the situtation on a personal level.



When Sano began to explore these movements, he told me he was surprised by how extensive and well-connected they are already are. (Yeah for the team!). He thinks that Applebaum's proposal raises some really critical points. I also informed him that I'd reached out to local politicians in my area. In fact, I wrote to a few of them yesterday. Delegate David Poisson of the 32nd district of Virgina (the ever-expanding Loudon County) responded to me too. (I have a theory that it's best to write to politicians on Sundays. They seem perhaps more inclined to respond. Just my hunch). Poisson told me that he will raise this issue in January when the General Assembly reconvenes. (I will make a point to nudge him when that month nears). Sano also told me that I could send Poisson the resolution below.



Sano is very open to this idea, but recognizes that it will take a lot of time. One thing he said that struck me as critical was this: we need to get this off the Internet and out there in other forms of public discourse. (That's why I urge all of you to write to Ira Glass and ask him to do a story on our movement).



Here are some of the things we agreed about:



1) We need to keep this dialogue going (that's why this blog is critical and I hope to earn more followers)



2) The resolution doesn't have to be s standoff between Wall St. and Main St.



3) If student loans were to be forgiven, there would have to be a component that required students to work in the public sector. (There are programs in place like this now, but they being restructured or halted as a result of the Great Recession. The NYT had a story about a husband wife, Travis Gay and Stephanie Gay. They are both special education teachers who are part of a Student Loan Debt Forgiveness program. The Kentucky Agency handling their case, however, has cut back this program, so the Gays are facing a difficult financial situation. In total, the couple owes $100,000).



Here's the resolution. I have more things to say, but wanted to get this up ASAP. (The italicized parts need filling out).



RESOLUTION

Council Member Sano introduced the following resolution:

RESOLUTION NUMBER

RESOLUTION OF THE COMMON COUNCIL CALLING UPON CONGRESS TO OFFER PROGRAMS TO REDUCE STUDENT LOAN DEBT AS AN ECONOMIC STIMULUS TOOL AND REFORM THE STUDENT LOAN PROCESS.

WHEREAS, the cost of higher education has risen faster than the average starting salaries, leaving many new college graduates with student debt which exceeds their ability to pay, and

WHEREAS, student loan repayment can be difficult for young people starting off their careers and has become even more challenging now with the economic downturn, as recent graduates lose their jobs or struggle to land one. Graduates confront unaffordable monthly payments, loans that are nearly impossible to discharge, and restrictive loan repayment plans, and

WHEREAS, there were nearly $131 billion in outstanding private loans in 2008. In addition, there is $544 billion in outstanding federal loans for fiscal year 2009, up from $502 billion in 2008, according to the Education Department. The average debts of students graduating with loans rose from $18,796 in 2006 to $20,098 in 2007, according to the Project on Student Debt, and

WHEREAS, forgiving private and federal student loans should be greatly expanded in exchange for service in all public sector jobs, so as to better utilize these degrees and experience especially in our most disadvantaged areas. The time frame for public service should be proportional to the amount of debt asking to be forgiven, and

WHEREAS, forgiving student loan debt would have a stimulating effect on the economy. Responsible people who did nothing other than pursue a higher education would have hundreds, if not thousands of extra dollars per month to spend, fueling the economy. As a result, tax revenues would go up, the credit markets will unfreeze and jobs will be created, and

WHEREAS, in order to stop this cycle of destructive student debt we also urge Congress to examine the following; repealing the exception to bankruptcy discharge of private, governmentally-guaranteed and government education loans, increased Pell Grant funding, to align the definition of total and permanent disability discharge with the Social Security definition of a disability, mandatory financial literacy training for all college students, and improvements in loan counseling and

NOW, THEREFORE, BE IT RESOLVED, that the Common Council of the City of Albany urges the federal government to consider forgiving student loans as part of a stimulus package for young people and to move forward on reforming the student loan process.

NOW, THEREFORE, BE IT FURTHER RESOLVED, that a copy of this resolution, suitably engrossed, be transmitted to United States Senators Kristen Gillibrand and Charles Schumer and United States Representative Paul Tonko.

CALL TO ACTION: Write to Ira Glass and This American Life about Applebaum's Movement!

What better way to promote this movement than on This American Life with Ira Glass? I wrote a letter to Mr. Glass and the Executive Producers of TAL a few days ago.

This story about shared debts and dashed hopes is an interesting one. I pitched it as such [truncated version]:

August 14, 2009

Dear Mr. Glass and Executive Producers of This American Life:

I got a great story idea. It's a tale about a guy named Robert Applebaum. You see, he's gotten a whole lot of powerful people and their lobbying friends inside the beltway in a tizzy. (I am proud to say that I'm part of that effort and have been debating heavily with analysts at the College Board over the past few days). But what's this tale all about? It's about the student loan crisis. The College Board was recently written about in an article entitled, "Is Student Loan Debt Really a Problem." That story has not been very popular. The link below will lead you to the outraged public. In that story, two people from the College Board, Patricia Steele and Sandra Baum, argued that the stories circulating around the putative "student loan crisis" are sensationalistic.

http://www.usnews.com/articles/business/paying-for-college/2009/08/12/is-student-debt-really-a-problem/comments/

I was one of the first to alert Robert Applebaum, the Founder and Executive Director of the Forgive Student Loan Debt Movement, and he let his supporters know about this article. This article is not the first to be published on the topic. In fact, if you take a look at Appleabaum's website here (http://www.forgivestudentloandebt.com/), you'll see that he's posted related pieces. The posters have similar things (there are those who are totally against it too) to say. The ones who support this movement tell their stories of what they owe and how they have decided not to have children, how they can't buy homes, cars - simple things. The haters tell those people that they were "irresponsible" for deciding to go to school. The haters call the debtors "brats," "snobs," etc. As you can see, it's a heated topic.

I also have a blog that's related to education here (http://alleducationmatters.blogspot.com/).

So, you're out of ideas for your next show. I'm the FIRST person to ever suggest a show. Whaddya think? Do you want to do a show on the student lending crisis? It's a hot topic, and it keeps getting hotter . . .

Sincerely,

Ms. C. Cryn Johannsen


Here's my CALL TO ACTION. Write something quirky and yet professional (is that possible? I think it is) to Mr. Glass and the Executive Producers of TAL. Ask them to do a story on our movement.

Their email is: web@thislife.org. Send them a note to promote the movement!

BREAKING NEWS PART I: My debate with Patricia Steele and Sandra Baum

Education Matters sent word out to movement supporters and leaders about Kim Clark's August 12th 2009 article, "Is Student Debt Really a Problem?" This article details a recent report from the College Board. In the report, the findings conclude that student debt really isn't as troubling as people would think.

A particular comment sparked outrage (understandably), and a fury of posts, which continue to be added today (SATURDAY), ensued. First off, who wrote this report and what was the remark that caused all this justified anger?

a) The report was drafted by Patricia Steele and Sandra Baum.

b) Steele claimed that the College Board put out the report in order to "take down a notch the sensationalist stories about students drowning in debt [my emphasis]."

The College Board is described by Klark as an "organization made up of colleges." In truth, there's more behind their involvement with this sticky, nasty lending industry, but I'll save that treat for later.

To describe the obvious systemic problems that the media has finally begun to discuss as "sensationalist" was a poor choice of words for Ms. Steele.

Here's what I wrote to them in an email on August 13, 2009:

Dear Authors of Recent (Highly Problematic) Study Regarding Student Loan Debt:

I am a blogger and my blog is about education. I am getting a lot of traffic and also am a supporter and volunteer for Robert Applebaum's Forgive Student Loan Movement. You recently stated that you published your report about student loan debt to "take down a notch the sensationalist stories about students drowning in debt." (You said that, Patricia). I find that remark to be offensive at best and condescending at worst. Your findings are highly questionable and do not take many factors into account. The stories I read on a daily basis about the crushing debt that middle class families have acquired as a result of sky-rocketing college tuition costs are heartbreaking. I am glad I'm on the right side of this argument. It is clear that lenders and higher education institutions are very nervous. They're actually responding. That means this movement is growing and proving to be more than just an irritating itch! We are talking about working- and middle-class families who are trying to better themselves, and you say something like that? Have you even bothered to read their stories? As social scientists who do an excellent job of crunching numbers for the College Board, I can only presume you lack the ability to synthesize these accounts. Thankfully we have historians who can tell richer stories and don't just look at the "numbers." That's a bad way to understand the complexity of modern society. I will be blogging about this piece soon. I will not be the only you will hear from.

Respectfully, Ms. C. Cryn Johannsen

This email got the authors' attention. Patricia was the first to write to me. Most of these emails were essentially "public," because I had cc-ed Robert Applebaum, Alan Collinge (if you're not familiar with his name, Collinge is the founder of Student Loan Justice, and others). Patricia and I argued back and forth for an entire afternoon. I understand why we weren't making much headway. It was cordial but heated. I appreciated that response from Patricia. She reacted quite strongly at first, but then she cooled down. Later that evening I received an email from Sandra Baum. To say it was condescending is putting it lightly.

On several occasions I let them know that I would be writing about our exchange and including their remarks (the ones that were public). But after re-reading the correspondence, and what I've recently learned about the College Board, I've decided that an exercise in providing my readers with a detail by detail account of our conversation is superfluous.

After my final exchanges with Sandra and Patricia, I investigated the College Board and its past. Suffice to say, their relationship with lenders is MUCH bigger than I had originally understood. I realized that the debate was disingenuous . . .

Follow-up/Robert Applebaum's Proposal

After my interview with Robert Applebaum and the jump in followers to this blog, it is clear that people (regardless of their opinion on this movement) want to know more details about Applebaum's proposal. For supporters, the reasoning behind Forgive Student Loan Movement was based upon common sense. But for its opponents that provides little satisfaction. They argue that it lacks substance.

In my view, Applebaum's arguments for this proposal have sharpened by leaps and bounds since he started the Forgive Student Loan Debt Movement on Facebook in January 2009. The increased level of evidentiary detail behind his proposal demonstrates two things. First, he is putting those analytical skills he acquired in law school to work! Second, he provides his followers with a synthetic interpretation of large, historical forces - economics and politics, culture and society - that have shaped the student lending industry in deleterious ways for those Americans below or a part of the middle class(es) . (I follow his arguments and evidence he puts forth closely, read as many newspaper articles about the movement, and correspond with Applebaum via email 2-4 times a day- that's been a pleasure. It has allowed me to understand the motivations behind his group and be witness to the unfolding of his political thought). The series of question and answer below, which can be found at Applebaum's site here, illustrate the intellectual growth behind this movement.

Frequently Asked Questions

1. Why do students deserve a "bailout"?

They don't. Nobody "deserves" a bailout - not students, not Wall Street, the banks, insurance companies or auto companies. The American economy, however, needs to be rebuilt for the 21st century. During the past 2 years, we've seen jobs disappear at rates not seen since the Great Depression. Fewer jobs mean that the average American worker has less disposable income and, thus, spends less money on goods and services. 70% of the U.S. GDP is fueled by consumer spending and unless and until that critical aspect of our economy is restored, we're going to continue to spin our wheels in a dragging economy [my emphasis].

A recession is as much a psychological phenomenon as it is an economic one. The driving factor in today's economy is fear. Fear of losing your job or income, fear of losing your health insurance, fear of not being able to keep up with mortgage or rent payments, and, yes, fear of not being able to keep up with student loan repayment obligations. When people are afraid of such things, they tend not to spend money on anything but the bare necessities. While savings is generally a good thing during prosperous economic times, it's what perpetuates the retraction during tough economic times.

The trillions of dollars that have already been spent and will be spent by Washington to try and dig us out of this hole have not had any appreciable effect on the middle class - and certainly not on the middle class student loan debtors who, regardless of income or ability to pay, are expected to repay their student loans ahead of any other concerns, including food, shelter and clothing.

Trillions of taxpayer dollars have been, and continue to be handed over to the very institutions that were responsible for the near collapse of our economy last fall. This is the very type of "trickle-down" economic practice that has led to the ever-widening gap between rich and poor over the last 30 years. For a fraction of the cost of what has been and will be spent, forgiving the student loan debt obligations of all Americans would have an immediate and continuing stimulative effect on our economy - one that seeks to rebuild our economy from the bottom up by helping real people with real struggles. Thus, while nobody "deserves" a bailout, new and unprecedented solutions are required to solve new and unprecedented challenges.

2. What are the benefits to non students?

The proposal is not limited to current students. The proposal advocates the forgiveness of ALL outstanding student loan debts, both public and private, regardless of the degree sought or when the degree was obtained, if at all. Ultimately, the goal of the proposal is to stimulate economic growth. By forgiving student loan debt, millions of Americans who are currently struggling month to month would have hundreds or, in some cases, thousands of extra dollars every month with which they could buy goods and services from the very sectors of our economy that are currently ailing (e.g., housing, autos, durable goods, travel & tourism), spurring economic growth. When the economy grows, everyone benefits. Jobs are created, consumers start to spend, credit unfreezes, prices stabilize, and the fear referred to above starts to dissipate. Therefore, everybody benefits.

3. How would this proposal help stimulate the economy?

Think of the proposal as a tax cut. The Republican/conservative theories on taxation suggest that if you cut tax rates, the aggregate amount of revenue collected by the government would actually go up, due to economic growth. Here, instead of cutting taxes in the form of a $44 per month reduction in one's payroll taxes (which is what the average American worker got out of the American Recovery and Reinvestment Act of 2009), the millions of middle class Americans saddled with student loan debt would suddenly have hundreds and, in some cases, thousands of dollars extra EVERY MONTH. The removal of this debt repayment obligation would also remove much of the fear discussed above as consumers will start to regain confidence that they will have enough income in the future, allowing them to start spending money now. Again, 70% of the American economy is made up by consumer spending. The key to restoring our economy, therefore, is to get people to start spending money again.

4. Why should student loan debt and not credit card debt be forgiven?

Choices have to be made. In a perfect world, I'd love for everyone to be debt free so that they can go on to have completely prosperous lives. But that's simply not feasible. Accepting the premise that there is only a finite amount of debt forgiveness that could be implemented, as a public policy choice, I believe that student loan debt is more deserving of forgiveness than other types of debt for several reasons. First, practically all students who have ever borrowed money to pay for school were encouraged to do so under the assumption that student loan debt was "good debt" - an investment in one's future. That promise is significantly less true today than it used to be, considering today's job market and declining wages. Second, unlike all other types of debtors, student loan borrowers have suffered inequitable hardships such as the stripping away of nearly all consumer protections, including bankruptcy, statutes of limitations, truth in lending requirements, etc. Further, as many student loan debtors will attest, the amounts originally borrowed by the students differ markedly from the amounts those same borrowers are expected to and often wind up paying. Fees, penalties, compounding interest and economic disincentives for lenders to help keep student borrowers out of default have caused millions of Americans who thought they were doing the right thing by borrowing money for their education to disproportionately bear the burdens of a lending system that is both predatory and inescapable.

Moreover, a well-educated citizenry benefits society as a whole, not just the students themselves. In order for the U.S. to compete on a global scale in the 21st Century economy, we need a workforce that is not only well-educated, but adaptable to the dynamics of our ever-changing economic challenges. To the extent the American worker is shackled by debt, we, as a society, potentially stifle innovation, entrepreneurship and growth. Removing these hurdles can lead to unleashing an entire generation, allowing them to realize their full potential in the new economy.

5. What would happen to student loans that are several years or possibly decades old?

They should be forgiven as well to the extent they have outstanding balances. This proposal makes no distinction between new loans or old loans, private loans or public loans, loans in default versus loans in good standing, loans for trade schools versus loans for liberal arts schools, etc. A hundred dollars spent on goods or services by a person whose 20 year old loan was just forgiven will have the same stimulative effect on the economy as a hundred dollars spent by a recent graduate whose loans were just forgiven.

6. What would happen to future students, would they be entitled to loan forgiveness as well?

Inherent in this proposal is a belief that, going forward, the way we fund higher education in America needs to be fundamentally changed. 40 years ago, a higher education was obtained mostly through grants and scholarships with small amounts of student loans making up the difference. Today, student loans are the primary source of funding for school. As tuition rates continue to soar at more than twice the rate of inflation, more and more students necessarily have to borrow more and more money just to obtain a degree that no longer has the same value it once did. This is a recipe for disaster as it is inarguably unsustainable. Moreover, I recognize the "moral hazard" element to this proposal - why should future students feel obligated to repay their loans if everyone's loans today were forgiven? As such, part and parcel of this proposal is that, going forward, fundamental changes to the way we fund higher education in this country need to be made.

7. What is the difference between federal and private loans?

Federal loans are guaranteed by the government, meaning, if the borrower were to default, the lender would be paid by the government, minimizing the risk to the lender. Private loans have no such guarantee and, therefore, are usually accompanied by much higher interest rates. As tuition rates continue to soar at more than twice the rate of inflation, students are required to turn to private loans with ever-increasing frequency, subjecting themselves to even higher repayment obligations down the road. All student loans, both federal and private, have been stripped of consumer protections mentioned above and, as such, private loans are nearly completely unregulated, potentially subjecting the borrower to many unforeseeable legal and financial pitfalls down the road.

8. What is predatory lending and how is it destroying the economy?

Predatory lending is essentially going after target demographics with promises of affluence for borrowing more than one should. We've seen it in the sub-prime mortgage crisis where millions of Americans were sold houses they could never hope to afford because predatory lenders convinced them that repayment would not pose a problem. The same problem exists in the student loan industry to a degree that, one could argue, is much more insidious because the target demographic is essentially kids aged 17-22. What on earth do 17 year olds know about economics, debt, earnings, compounding interest, deferrals, forbearance or any of the other hard lessons that are eventually learned the hard way years later? Promises of easy repayment schedules, advanced earning potentials, and guaranteed jobs, not only by the lenders, but by their witting accomplices in every financial aid office in every college and university in America is, in my opinion, the very definition of predatory lending.

9. What benefits do you see from stimulating the economy from the ground up as opposed to a top-down trickle effect?

We have over 30 years of evidence that the trickle-down approach only works well for those already at the top. Sure, our economy grew during the 1980s and 1990s thanks to tax cuts, corporate subsidies and low interest rates, but the gap between rich and poor grew exponentially, too, and real wages adjusted for inflation have actually gone down for middle-income Americans. The middle class is the backbone of this country and since we're already standing in the ruins of more than 30 years of greed and excess, the rebuilding process should focus on the very people who drive this economy and who make this country work.

10. What do you suggest should happen to the students who have paid off their loans prior to this proposal?

I fully recognize that this isn't fair to them. I'm sorry that many of them will see the implementation of this proposal as punishment for their having done the right thing. I could only hope that they look beyond their own self-interests to see the benefits of this proposal to all Americans if it achieves the goal it's designed to accomplish - economic growth.