As WSJ reports, Sallie Mae (SLM), the nation's largest non-government student lender just cancelled a $225 million debt offering as investors decided they simply were not getting paid enough for risk - amid rising student loan defaults. This sounds a whole lot like 2007 when the leaks to the sub-prime mortgage bubble were first notices. And, of course, that did not end well. Oh, by the way, he total student loans outstanding are in excess of $1 trillion. Simply look at the following chart, and one might conclude that this is 2007 all over again. But, this time is going to be worse.
No comments:
Post a Comment