Well from the schools perspective is that they can afford it. I was thinking of it from the schools perspective rather than the student.
When, of course, it's a bailout for private lenders the government needs to keep lending. If some students are helped, that's at best a side effect.
Debt gets erased, lenders get nothing. Everybody wins except the irresponsible lenders.
I'm fine with this. But uhh, feels like people would complain about gov't overstepping it's bounds or picking winners/losers...
And if the answer is that you'd rather have the tax write-off I would love to take out a personal loan from you. And I don't imagine you'll be in the lending business for very long.