Are Students Struggling with Student Loan Debt?

Are Students Struggling with Student Loan Debt?

Los Angeles, CA
March 4, 2015

Student debt continues to burden our nation’s consumers. At the end of 2014, 11.3% of student loans were over 90 days late. That is up from 11.1 % in the previous fiscal quarter. All other forms of debt including credit cards, auto loans, and mortgages show lower delinquency rates. However, unlike all other debt, federal and private student loans are not eligible for bankruptcy. This means student loan borrowers will always remain on the hook to pay something back. With about $1.2 trillion dollars in student loan debt, it is now the second highest form of debt in our country behind mortgages. Student loan debt has clearly spiraled out of control because in 2009 student loans were smallest form of American debt.

In 2008 America experienced a historic recession. Many Americans saw more education as a way to obtain higher paying jobs and economic security. Student loan borrowing ballooned rising 92% between 2004 and 2014. The average student loan balance grew 74%. However, many degrees did not translate into high paying jobs. Right now, there is very little help for consumers with private student loan debt. If you have private student loan debt contact a qualified debt settlement attorney. A qualified debt settlement attorney can present expert advice and legal guidance for student loan debt and repayment options.

Author:  Student Loan Debt Attorney,  Kevin Fallon McCarthy

 

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Kevin Fallon McCarthy is the McCarthy Law PLC’s managing attorney and an experienced Phoenix debt attorney. Mr. McCarthy has also worked as general counsel for a large corporation. He has corporate counsel experience in human resource matters, general corporate governance, and union class action litigation.