"The simple fact is that back in the 1960s you could rent a small apartment, buy a used car, and put yourself through college on a minimum wage job. I know because I did it (pumping gas, washing dishes, working as a part-time DJ), as did millions of my generation. Just ask your grandparents. So, what happened?"
The government got involved.
#5 | Posted by madbomber
"The government got involved"
Yes, that's actually what the headline says. The headline you've been arguing with says the same thing you said.
"Federally secured loans mean that students and homeowners could borrow hundreds of thousands of dollars, even when they might be able to pay those loans."
Students can't borrow "hundreds of thousands of dollars" of Federally secured loans. When I started in 1990 I borrowed something like $1,600 for one year. When I went back to school in the 2010s I borrowed about $55K over two and a half years. Medical students can borrow well over the $100k mark but have to turn to private lenders to get there.
And Federally secured home loans offer security for the lender, not the homeowner. The home itself still serves as collateral, will be auctioned off if the mortgagee defaults, and the lender made whole by the FHA.
Why?
I don't understand why Republicans would do this.