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LambdaScam: A Loan by Any Other Name

2 pointsby kevintbalmost 6 years ago

1 comment

orangecatalmost 6 years ago
This is unconvincing. He&#x27;s obsessing over the &quot;interest rate&quot; when that&#x27;s not a relevant metric. Unlike real interest, your total cost doesn&#x27;t increase without bound; the most you&#x27;ll ever pay is $30k (and that&#x27;s if you get a high-paying job). The question is whether their service is worth up-to-$30k; it may or may not be, but dividing the maximum post-paid cost by the prepaid cost doesn&#x27;t tell you anything useful. If Lambda made the prepaid cost $35k and the post-paid cost up to $40k, would it become a better deal?<p><i>Some of the people who don’t get jobs immediately after Lambda School will attend other schools and bootcamps, take on more debt, and potentially get a job after that: despite Lambda school not being fully responsible they’ll still get paid.</i><p>Good luck getting out of your student loans because you ended up getting a job that has nothing to do with what you studied.<p><i>Tying interest rates to income means tying interest rates to factors like race, gender, and parental income. This is obviously discriminatory.</i><p>In the same way that giving wealthier students less financial aid is discriminatory.<p><i>For “riskier” students, the terms of the ISA would be different: maybe instead of a cap of $30,000 students would be asked to pay a maximum of $40,000.</i><p>&quot;I thought of a bad thing you might do in the future, and that makes you evil&quot;.