Latest Posts
Home > Debt Articles > Student Debt Kills Dreams

Student Debt Kills Dreams

The amount outstanding on student loan debt continues to increase past the point it blew the roof off how much people owe on all credit card debt. Imagine, people owe more in student loan debt which is nearly generational debt. In most cases it can’t be discharged in bankruptcy and with parents and grandparents co-signing for some of these loans it is dragging entire families down.

It is the fact student loan debt will create a slowdown of the economy that it will receive government attention and options for consumers in the years ahead.

Our economy doesn’t work if consumers aren’t spending and if people become so mired in debt we might even see the return of discharging student loan debt in bankruptcy. Hey, it could happen. Private student loan debt was dischargeable until 2005.

USA Today has a story out which bring up some interesting points on this economic drag subject.

Rohit Chopra, student loan ombudsman at the federal Consumer Financial Protection Bureau said, “You may be unable to save, unable to put away money for retirement.” “Many borrowers are telling us their dreams of owning a home or starting a small business may be out of reach.”

Student Debt Kills DreamsFrom generational debt to generation killing debt, student loan debt has now grom to 8.8 percent of all debt owed, up from 3.1 percent in 2004.

“Of those carrying student debt, about 40 percent say they have postponed contributions to retirement plans or delayed car purchases, 29 percent have put off buying a house and 15 percent have postponed marriage, according to a new survey from the American Institute of Certified Public Accountants.

Six in 10 respondents said they regretted their choice of college financing. The current spiral in student loans is feeding an ever-growing cycle of more spending, higher tuition — and even more loans.”

Read the entire USA Today story, here.

But a time will come when more will have to ask themselves if they should even go to college. It was the focus of this recent article.

Student Debt Kills Dreams
Get Out of Debt Guy – Twitter, G+, Facebook

If you have a credit or debt question you’d like to ask just use the online form. I’m happy to help you totally for free.

Student Debt Kills Dreams by

Share This and Spread the Word

About Steve Rhode

Steve Rhode
Steve Rhode is the Get Out of Debt Guy and has been helping good people with bad debt problems since 1994. You can learn more about Steve, here.
  • Pauletta G.

    Great article, this is a pretty hot topic right now. Have you been following Senator Elizabeth Warren’s push to get Congress to lower student loan interest rates to the same rate the Federal Reserve offers big banks??? (http://www.huffingtonpost.com/2013/05/13/warren-student-loan-petition-lower-rates_n_3267028.html)

    Warren is a real sharp lady and I really like her position on the mortgage relief settlement as well.

    Also, I think there was a typo in your article, “debt has now grom to 8.8 percent” just FYI.

    • http://GetOutOfDebt.org Steve Rhode

      Yes. Interest rates are one thing but meaningful repayment options are another.

  • Henry Roma

    This is a great article. What can we do as student debtors to get the government to look at this issue with open eyes, looking into the future?

    • http://GetOutOfDebt.org Steve Rhode

      Contact your Congressional representatives and let them know how you feel.

Get My FREE Get Out of Debt Guy Newsletter

It is the smart thing to do.

I promise to keep your email safe and secure.

Close

I want to keep you posted each weekday with just one email about the latest get out of debt news, scam alerts and information to beat back debt.

You can unsubscribe at any time with just one click.

After you subscribe, check your email to confirm your subscription. If the confirmation email does not appear in your inbox in a few minutes, check your spam folder for it. Sometimes it likes to annoyingly hide there.


  • It will keep you posted on the latest scams.
  • You will be alerted to the latest articles.
  • You will wind up smarter than everyone else dealing with debt.