The Bankruptcy Abuse Prevention and Consumer Protection Act was enacted in 2005 to include private student loans as one of the 10 debts that can't be forgiven.
Robert Siegel talks with Stephen Burd, senior research fellow in the Education Policy Program at the New America Foundation, who says federal loans had long been included in this list, but private loans were included in 2005 because lenders had been reluctant to take on the risk of student loans.
Now that lenders have no risk, Burd says, student loans have become a very lucrative business.
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