Student Loan Impact

Student Loan Impact on Other Types of Debt
35% of students under 30 are seriously delinquent on their loans by 90 days or more. What is causing the loan debt problem? Tuition has gone up 1,000% since 1978, a rise more than any other expenditure. Loans do not only hurt the students who have them; they hurt all of us and the economy. Those who have loans aren't buying houses, cars, or getting married. Student loans are the only type of public debt you can not get rid of.

Gottesman knows that less education is not the answer. Legislation is a small part of the solution. Education has to look different 20 years from now to prevent another generation from experiencing this load of debt.

The U.S. government backs majority of loans through companies like Sallie Mae. Therefore, if students default of their loans, the government is responsible for repayment, which falls on taxpayers. This continues to illustrate how private and public debt within the U.S. are intertwined.

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