Are Student Loans The New Sub-Prime Credit Crisis?

This is surely déjà vu, as the excesses of the sub-prime mortgages that caused such a major role in the financial crisis, now seem to be crawling out of the woodwork in another avatar – student loans.

In a new report by the Obama administration, cited by NBCNews.com, The Department of Education, and the Consumer Financial Protection Bureau have highlighted that student loans granted around the time of the financial crisis, are now seeing heightened levels of default, and this may be a pointer to the reckless lending practices of that era, a la the sub-prime...