Tag: debt

Student loans leave crushing debt burden (via MSNBC)

On By southwerkIn Government Failure

When will student loans reach such a size and ferocity in collection that a majority of American students no longer believe it is financially worthwhile to go to college?

Has the American dream simply disappeared for millions of Americans to whom a college education was the gateway to some form of economic security?

James Pilant

The cost of a college education is rising faster than the cost of medical care and as much as three times as fast as consumer prices in general. But that’s just the beginning of the price of admission.

This is the story of a debt crisis few are talking about.

Americans now owe more on their student loans than they do on their credit cards — a debt fast approaching $1 trillion with no end in sight.

Students borrow because they see little choice. A college education, after all, is a key to success. That, it seems, is an article of faith.

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Opinion: The Looming Student Loan Crisis (via AOL News)

On By southwerkIn Government Failure

For many student loans are a continuing crisis in their lives. Is this kind of debt for millions of Americans sustainable? What are the social effects?

Does the student loan burden keep students away from running for public office, pursuing jobs valuable to society like police, fire and military?

Is this the way, we as a nation should finance our children’s education when that education is so critical to national success and competition?

Read this article and see what you think.

James Pilant

Like home ownership, a college degree used to be perceived as one of the keys to success. Unfortunately, these days it’s starting to look like a gateway to financial ruin.

The Federal Reserve has confirmed that as of June 2010, consumers now owe more on their student loans than on their credit cards.

A separate report reveals that one in five people can’t make their monthly payments.

As a result, Sallie Mae and Citibank have become the arch nemesis of millions, and the country as a whole faces what some warn is America’s next “mortgage meltdown.”

..Read More …