Its no secret that student loans can be a major pain. But these 10 facts will give you an entirely new perspective on student loans.
- Government records show that the Federal Government made a profit of 43.1 Billion in student loans last year. Only Exxon Mobile and Apple made more money over the same period of time. What is the number one complaint about these figures? Many argue that other accounting methods would show lower profit numbers.
- Student loans force borrowers to put their lives on hold and hurt the economy. Engagements, marriages and children are put off because of student debt. Student loans make the dream of home ownership difficult for some and impossible for others. Smaller purchases like a car lease are even limited by student debt.
- The cost of a college degree is skyrocketing. Over the past thirty years the price of college has grown by 1120%. This is double the growth of medical costs for the same period of time and four times the consumer price index. Working your way through school has gone from being difficult to nearly impossible.
- Hundreds of thousands of college grads end up in minimum wage jobs. Education may be the key to the American dream, but for many college graduates, the only work they can find is minimum wage. That means big student loan bills on a very low budget.
- For-Profit Universities have Congress in their back pocket. In the words of one US Senator, the for-profit colleges, “own every lobbyist in town.” In the second quarter of 2013 alone, the Chair of the House Education and Workforce Committee raised $138,350 from for-profit colleges. This amounts to nearly 25% of his campaign funding for that period.