Student loan debt will top credit card debt in 2011
In 2011 it is projected student debt will exceed 1 trillion dollars. According to Rich Williams, of PIRG, this is the second year in a show student debt will top credit card debt in the U.S.
Student debt crisis threatens US economy according to International Business Times
The International Business Times is reporting that the student debt crisis is a threat to the US economy. They state that based on recent data from the U.S. Department of Education student loans are headed in the same directions as the foreclosure crisis.
“The report shows that the national cohort default rate on federal student loans is 7 percent for borrowers who entered repayment in 2008, which is comparable with the default rate for credit cards (8.8 percent) and home mortgages (9.1 percent). In fact, earlier this year it came to light that the total amount outstanding on student loans was $875 billion, which actually exceeded the amount that Americans owe on their credit cards.”
Read the full story here.
Report: Colleges That Leave Graduates With The Most Debt
The Project On Student Debt released their report on debt for the class of 2009 with an interactive state by state map. Forbes put together a list of colleges that leave students with the most in debt upon graduation. Some of these are Cleveland Institute of Art, American University, and Florida Institute of Technology.
Class of 2009 Debt Report (pdf file) by ProjectonStudentDebt.org
Connecticut might Forgive Student Debt for Green Jobs
Connecticut’s legislature is considering forgive as much as $2,500, or 5% of loans, for those who go to work in green technology and other industries. Students would have to earn a bachelor’s or associates degree. Then work in CT for at least 2 years. This is an effort to increase CT’s work force in high-growth green technologies.
Denied Professional License due to Student Debt
That’s right you can be denied a professional license for student debt. Accreditation boards have denied licenses or renewals to lawyers, nurses and physicians. Lynn O’Shaughnessy, of CBS Money Watch, sums it up with, “The judge’s decision made me wonder what’s next: Debtor prisons for delinquent student borrowers?” Read her full story
Student Debt: 42% Live “Paycheck to Paycheck”
From the Miami Herald the U.S. Department of Education of education reports that college debtors:
- 34 percent have sold possessions to make ends meet.
- 42 percent live “paycheck to paycheck”
- 39 percent say they will take more then 10 years to pay it all off.
- 27 percent put off medical or dental procedures.
- 48 percent suffer from anxiety and sleeplessness.
- 43 percent put off grad school.
- 47 percent say their families should have done more to save for college.
Student Debt – A Life Sentence
CNNMoney.com reports on how the large amount of debt students are now graduating is diverting careers,marriage and buying a home. Read more
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The latest news about student debt. Find out the issues facings students and graduates when it comes to dealing with student debt. You can get help with your student loan debt, credit cards, private student loans and federal student loans. Options include a student loan consolidation, forbearance, change in payment plan, or a temporary deferment.
Learn how the student debt crisis can affect the U.S. economy.