Interest rates should depend on the market. Why you want to artificially meddle in everything? Solutions for student loans is simple. Stop government guarantees, and get rid of the government law that makes it not dischargeable. Government caused the problem and you ask for another government “solution”

Hah, everything is the government and government is bad when people want it to be. The government is the thing that makes bankruptcy possible in the first place, and if it didn't exist you'd just have someone hunt you down for repayment and torture you until you comply.

You make the weird assumption that any law requires a big monopoly that meddles in everything. Not true. Anti-slavery law covers the ability to discharge with bankruptcy.

This is pretty extreme take on me suggesting limiting predatory rates on loans.

I'm fine with the federal government servicing 100% of student debt and for that debt to be completely interest free.

But that's as far as I'm willing to go on the issue. If it were up to me, I'd have the feds regulate university expenditures the same way that they regulate insurance companies. You get X% of tuition and fees to go towards construction, overhead, and administration. Everything else is for educator salaries.