Re:A Student Loan System Stacked Against the Borrower
by PeterisP on Monday October 12, 2015 @02:56PM
(#10376360)
They are unsecured in that there's no collateral that can be "quickly" (<1 year) repossessed to recover most of the loan, just as any other unsecured debt - credit cards and other consumer lending.
The differences in bankruptcy are not relevant; for student loans the lender can easily be unable to pay for the rest of their lives, thus it's classified as unsecured loan.
The differences in bankruptcy are not relevant; for student loans the lender can easily be unable to pay for the rest of their lives, thus it's classified as unsecured loan.