Student Loan Debt Petition: Stop the Exploitation of Minors

Three-step Plan

Making change happen takes all of us working together toward a common goal. The National Financial Educators Council (NFEC) proposes a three-step approach:

Step 1: Free Market. We’ll use the petition as leverage to open up lines of communication and influence change. The NFEC draft model proposes a free market solution that makes economic and moral sense. It’s a win-win for all parties:

Step 2: Legislative Influence. The NFEC has drafted legislation called the College Student Protection and Financial Education Act to enlist politicians in the effort to proactively address this national crisis. This legislation proposes a preventive model similar to the Bankruptcy Abuse Prevention and Consumer Protection Act of 2005, which requires people to get budget counseling before they can file bankruptcy and financial education after they file.

Step 3: High-profile Awareness. Change takes time. But a high-profile awareness campaign helps move change forward faster. The NFEC will employ the tried-and-true campaigning strategies that have made them a leader in promoting financial literacy to raise awareness for this effort.

This program will improve the financial capabilities of our nation’s citizens, reduce student loan debt and default rates, and protect the fragile U.S. economy from another bubble implosion – all by simply adding one stipulation to the Federal Student Loan documents.

We don’t want our kids’ dreams to turn into a debt sentence. Sign this petition now to support a system where college-bound youth under 18 years old must graduate from a personal finance course prior to entering into Federal Student Loan debt. This program encourages responsible borrowing, which protects our country and helps give youth the opportunity to achieve their personal American Dreams.

Student loans have grown to a $1 trillion bubble that’s already hurting the U.S. economy. If the bubble bursts, a national debt crisis will result. We should be approaching this problem proactively – by ensuring that our kids have personal financial skills before they sign off on a huge student loan.

The Federal Student Loan program itself is not the problem. That program has given millions of youth a chance to attend college and, with adjustments, it can continue to benefit college hopefuls for many years to come.

In collaboration with industry experts, the NFEC has already drafted educational standards, text of the legislative bill, and a business model to serve as a foundation plan for further development. These draft plans are available to view, and we want to improve them by asking you to add your ideas. We will use this open source model to leverage intellectual input from people with passion and expertise to contribute toward improving our youth’s financial capabilities.