By cutting educational funding, he pressured more students to either borrow money for school or join the military.

One appealing option, at a reasonable interest rate, was the Guaranteed Student Loan. This kind of debt, supplied by a normal bank, was guaranteed by the U.S. government — guaranteed, that is, for the lender. The bank was sure to get paid. This allowed a young person, who likely had no credit history, to go to school — and to go into debt.

These Guaranteed Student Loan obligations are disallowed bankruptcy protection for the borrower. You cannot discharge them. The former student cannot absolve her financial record of GSL debt by filing in court for bankruptcy.

The institution of bankruptcy is important for many It can protect a person from the harshest consequence of financial risk — that of life-long debt.

But there are several categories of debt that one cannot absolve. Depending upon current and regional statutes, one may be unable to clear debts incurred by recent luxury purchases, by fraudulent acts, or by transactions agreed while intoxicated. In other words, asinine financial mistakes might not be dischargeable in bankruptcy court.

Protection is equally unavailable for anybody who borrowed government money to get an education.

Reagan and his people decreased availability of money for prospective students, encouraging debt... or military enlistment.

Without saying so, they also eliminated the chance for guaranteed-loan borrowers to have an audience in bankruptcy court.   • Ronald Wilson Reagan died, age 93, at his home in Bel-Air, California, on 5 June 2004.