Trade schools and student loan default

Filed under Student Loans, Trade Schools

http://voptsslf.blogspot.com/ is upping the ante on the fight against trade schools and student loan default. Does the blogger have a point? Or should every buyer beware and be held accountable to look into the viability of a career after a particular trade school?

Unfortunately in this case, the blogger does not prevent a very strong case to prosecute a fraud or to make any changes to the current law. For example, the bloggers’ complaint that

Under the part I, General, on the promissory note, it reads, “I understand that the lender has applied for a guarantee under the Higher education assistance foundation (HEAF)and because of this, the loan is subject to, and the terms of this note to be interpreted in accordance with Sub chapter IV, Part B of the Higher education act of 1965 as amended. . .” and more stuff..
I was NEVER INFORMED as to what subchapter 4, part B was, nor what it entitled.

We all know that it is incumbent up on any signatory of any contract to read and understand the content of a contract. If anything, bloggers and other people like this should serve as a warning to all students that they should know and understand all their rights before they sign up for a huge student loan debt for trade school or any other school.

Fortunately, many trade schools offer programs so short that a loan is not necessary but if you do need a loan to make it through school and get the skilled trade to get a good job, be sure to read the fine print, know what you are capable of paying back and know what your legal and financial obligations are going to be once the loan comes due. It’s up to you to know what you are signing on for when you borrow other people’s money. That aint necessarily pretty but it is the way things are. And it’s the law.

If you’re interested, you can read more about the lobby for student loan justice at this Yahoo group: http://groups.yahoo.com/group/StudentLoanJustice/. If nothing else, it can serve as a warning against trouble.