Re: Obama 10: Rahm it through.....even in the shower.
You really think they have lower admin costs? They don't allocate expense in the same manner a company is required to do...computers, security, benefits, phone bills, landscaping ... you name it...is managed outside of the specific agencies so when they say admin is 2% of the budget, they are telling the truth but also not telling the whole story (par for the course). BUT, we are paying for all of those things...along with the estimated $98 Billion in improper payments the federal govt made in FY 2009.
And, if it is going to cost billions more for the government to do it, and I submit that is not a full accounting of the conversion, fraud and default costs, then we're saying "even if it costs more tax dollars, I want any business associated with any government entity to be run by the government".
Read all the articles...they point out that the government is still going to charge students 6.8% on the loans (it is ok for the government to profit off of students) and that private loans through lenders have higher rates because they aren't subsidized....but when they sold the plan to us they said the private lenders were making billions off subsidies, how can that be true if they are passing them on in the form of lower rates?...somebody isn't telling the whole story on that either.
Well the current system is all socialized losses and private profits. So I really don't have a problem with removing the banker/lender leeches even partially.
You might be right in total but if we look at medicaid/care the admin cost is much lower than private sector but fraud seems high... around $2billion losses .5-1% from fake medical bills.
I'm not even sure what the cap is on student guarantee is, but from the sound of it the rhode scholar borrowed $680,000 over her limit (with 2 accounts) so sounds like she borrowed around $1.2million. That is crazy.
You really think they have lower admin costs? They don't allocate expense in the same manner a company is required to do...computers, security, benefits, phone bills, landscaping ... you name it...is managed outside of the specific agencies so when they say admin is 2% of the budget, they are telling the truth but also not telling the whole story (par for the course). BUT, we are paying for all of those things...along with the estimated $98 Billion in improper payments the federal govt made in FY 2009.
And, if it is going to cost billions more for the government to do it, and I submit that is not a full accounting of the conversion, fraud and default costs, then we're saying "even if it costs more tax dollars, I want any business associated with any government entity to be run by the government".
Read all the articles...they point out that the government is still going to charge students 6.8% on the loans (it is ok for the government to profit off of students) and that private loans through lenders have higher rates because they aren't subsidized....but when they sold the plan to us they said the private lenders were making billions off subsidies, how can that be true if they are passing them on in the form of lower rates?...somebody isn't telling the whole story on that either.
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