Is student loan debt a bubble? What would happen if that thing pops?

Is student loan debt a bubble? What would happen if that thing pops?

The government would bail out the banks again and the white working class would pay for it.

Well I dont think its a bubble in the traditional sense in that there is not as much contagious risk

While students technically cannot declare bankruptcy from student debt, if there was a mass default there likely would be a bailout and restructuring of future student loans

It's basically a welfare program at this point. Default rates have been growing since the start of the college bubble and when the next downturn happens it will skyrocket.

Hopefully Donald Trump scraps the whole system and forces prospective students to appeal to private lenders. This would put massive pressure on universities to cut costs and in a decade or so university would be affordable again.

The reply to this thread that precedes all others is also the foremost in quality.

Isn't it actually better to get your loan from a private lender as you can't declare bankruptcy from a student loan?

not sure but at least if you get your loan through a private lender you need to actually appeal to them

the government hands out loans like candy, if you have to appeal to someone you can't get in through affirmative action or go for meme degrees

best way to prevent student loan debt is to pay up front

Literally only rich people would be able to afford college then. There would be no middle class. And no user, you would not be on the rich side.

So what happens when the loan pops? Are the loans forgiven? Do they stop handing them out?