Monthly Archive: December 2014

STUDENT LOANSOME Ride the wave to debt…

untitledBy: Louis Falcinelli

The stakes for wanting to be able to continue your education just got a little higher…

According to the U.S. Department of Education, the federal student loans have increased to over a trillion dollars, from 2007-2014, just a 7 year period!

It is in that time span that the median earning potential for a full time employed, approx 25 year old, has actually decreased, sites The U.S. Beau of Labor Statistics.
So this is to say that as the rise of debt continues to increase for students wanting higher education, the ability for their earning potential keep plummeting in the meanwhile.

Therefore, it should come to no surprise that the U.S. Department of Education reports that to the tune of 40%, roughly half the student debt, is not being paid back, and over 50% of borrowers are struggling to pay their loans on time, which doesn’t even factor in the actual loans, or the interest rates compounded on top of them, sinking a former student into the financial hole even more so.

When the costs have risen to such levels of almost nonsensicality while the earning potential continues to decline, making the education you are swimming in debt to afford more and more less valuable, serves as the ultimate irony, and a real cause for reform.