NYT: Student Debt and the Crushing of the American Dream

Great article in the New York Times on student debt in America

Here are a few of the staggering statistics which are discussed:

  • Student debt for seniors graduating with loans now exceeds $26,000, about a 40 percent increase (not adjusted for inflation) in just seven years.
  • According to the Federal Reserve Bank of New York, almost 13 percent of student-loan borrowers of all ages owe more than $50,000, and nearly 4 percent owe more than $100,000.
  • Some 17 percent of student-loan borrowers were 90 days or more behind in payments at the end of 2012.

The author also discusses how we have gotten smarter about credit card debt, but haven’t learned our lesson with student loan debt:

Responsible Americans have learned how to curb their credit-card debt — many have forsaken them for debit cards, or educated themselves about usurious interest rates, fees and penalties charged by card issuers — but the challenge of controlling student debt is even more unsettling.

Adam Taufique

Adam Taufique is a founding member of Qur'an Weekly and Debt Free Muslims. He is a regular khateeb in his community and has served in Masjids from being a weekend school teacher to youth coordinator. You can follow him on Google+ or on Twitter @adamtaufique.

One Comment

  1. mohammad
    May 15, 2013

    In related news, it looks like higher education may be a very different field in the future. Georgia Tech recently announced that they will offer a special Masters degree in Computer Science for a fraction of their normal tuition (total is about $6600) through a partnership with the online school program Udacity. http://bit.ly/13×6597

    Reply

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