Student loan debt is quickly becoming a bigger burden for all those in the United States. The level of student loan debt has now exceeded the level of credit card debt. This is very alarming as tuition for most schools are only increasing and the debt level shows no signs of stopping. There aren't any good proposals for solutions to fix this problem either. One proposal was to get rid of the fixed rate but this can help and hurt people trying to pay their loans. In good times it would be beneficial but then become a burden when the rates rise. Having this high amount of debt will only hurt the economy as more people will most likely put their money towards paying off the loans rather than products and services. This problem effects people of all ages as well in that besides people in their 20s and 30s having to pay off loans, people in their 60s are also having to pay back loans. Americans over the age of 60 have an estimated $43 billion in student loan debt. This comes from student loans taken out later in lives and co-signing for family members, ultimately leading to their social security checks being garnished when they are unable to pay. As a student who will have to pay off student loans by myself, I am worried that by the time I graduate and after, they won't be able come up with a solution for this growing problem and that it will be a problem I will be dealing with for a long time to come.
http://www.huffingtonpost.com/steve-rhode/student-loan-debt-creates_b_3055347.html?utm_hp_ref=business
This is alarming also due to the fact it is much harder to find a job without a college degree in this day in age, so to get a job it seem that you have to pay your way in and suffer unreal amounts of debt just to survive
ReplyDeleteI agree with Travis this seems extremely alarming. Partly due to the fact that I will be graduating in a few short years it will be interesting to see how big of a burden this will become. With colleges increasing tuition every year it isn't getting easier to afford college. I could see a major shift from private colleges to State colleges where students pay far less in tuition and can get state granted scholarships. This is an alarming problem but it is the choice we make when deciding to educate ourselves.
ReplyDeleteThis is also hard for the people who come from very little and want a college degree. If these people get loans for school, they have no help in paying it off. We can all relate to this issue somewhat, whether we have to pay our own loans or our parents, it is still difficult to deal with. On top of that, the difficulty of getting a good job to help pay those back, as well as living somewhere while buying food. We can only hope for a solution to this problem in the near future.
ReplyDeleteI also agree that this is a very problematic issue. For some reason the government has taken poor steps at combating the student loan debt. We could eventually see the student loan debt bubble burst and cause yet another major recession. This is not what are country needs and also it becomes a huge problem for me.
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