Student Loans.

There is a news item that more than £ 5 Bn student loans have become bad due to the lender’s inability to locate the students who availed of the loans, finished their education and have simply vanished!

Nick and I had this exchange on FaceBook.

Ramana Rajgopaul Leaving aside the debate about free education, there is a question of morals and ethics here that is highly disturbing for depicting the educated youth of a country.

Nick Rogers Ramana, the morals and ethics of what exactly?

Ramana Rajgopaul Of borrowing money and disappearing without repaying the loans.

Nick Rogers Ramana, I think that’s entirely moral and ethical because higher education should be free. Graduates benefit everyone in society with their skills so why should they be landed with the bill?

Ramana Rajgopaul I beg to differ Nick. The students borrowed the money knowing that education is not free. They did not borrow from the authorities who decide on who is to bear the cost. They entered into a voluntary transaction like they would to buy an automobile on hire purchase, This has got nothing to do with what should be or not be about higher education’s cost to students. This has got everything to do with the students’ character.

Ramana Rajgopaul On the other hand, in India, something like this would straight away indicate a big scam. The Minister in charge of the department concerned and its officials would have siphoned off the funds using fictitious names!

Nick Rogers Now that really IS immoral and unethical.

I submit that in the process of defending universal free higher education, we cannot overlook the morals and ethics involved in pure commercial transactions and throw open this subject for debate.