I think the banks and government employees that gave the loans they knew the person wouldn't be able to pay back in their lifetime should pay because of the fraud they committed.
The student loan system is a complete scam and shouldn't exist.
College degrees should be dirt cheap. You literally only need a computer and internet access for 70% of degrees. The government should make a free program where they offer cheap or free classes and then give in person tests for cheap to get the degrees.