I graduated college (Hofstra University) debt-free. (B.S. (Math) and M.S. (Computer Science).
I took the bus to campus, live at home, and worked while in school.
So part of me says "why should kids who wanted to live in a country-club atmosphere far away from home on borrowed money for 4 years get a bailout?"
However, I also realize the crippling seriousness of the problem.
I think the immediate solution is: The Governments Should Get Out of the Student Loan Business. Now. Allow private companies to give loans, but they're like any other unsecured loan, and you can cover them in a bankruptcy.
Tuition will drop like a rock! And maybe people will realize that not everyone has a "right" to go away to a country club for 4 years on borrowed (or someone else's) money.
Only if the Government stops backing student loans would I be happy with any sort of loan "forgiveness" program. And I think these people's creditworthiness should forever be tarnished.