Yeah, there's no risk of someone repossessing the education you received, like there is of the house you've defaulted on. And a reduction in the value of a bachelor's degree doesn't affect your family's net worth like that same reduction in the value of your home.
Mass defaults (which you could argue we're already seeing at ~20%) would be terrible for lenders (private and public), and probably the schools involved, so there'd be an impact, but you wouldn't have the massive loss of aggregate wealth we saw impacting the middle class five to ten years ago.
Probably not far off from its value if it hadn't gone out of business.
For-profit colleges aren't typically known for their deep alumni networks or stellar name recognition, so either way, the degree is basically valued by the education you managed to obtain while you were there.
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Yeah, there's no risk of someone repossessing the education you received, like there is of the house you've defaulted on. And a reduction in the value of a bachelor's degree doesn't affect your family's net worth like that same reduction in the value of your home.
Mass defaults (which you could argue we're already seeing at ~20%) would be terrible for lenders (private and public), and probably the schools involved, so there'd be an impact, but you wouldn't have the massive loss of aggregate wealth we saw impacting the middle class five to ten years ago.
If your bachelor's degree is from a for-profit college that has just gone out of business, what is its value?
Probably not far off from its value if it hadn't gone out of business.
For-profit colleges aren't typically known for their deep alumni networks or stellar name recognition, so either way, the degree is basically valued by the education you managed to obtain while you were there.