Federal Student Loan Debt Tops $800 Billion
” From November 2013 through November 2014, the aggregate balance in the federal direct student loan program–as reported by the Monthly Treasury Statement–rose from $687,149,000,000 to $806,561,000,000, a one-year jump of $119,412,000,000.
The balance on all student loans, including those from private sources, exceeded a trillion dollars as of the end of the third quarter, according to the Federal Reserve Bank of New York.
” Outstanding student loan balances reported on credit reports increased to $1.13 trillion (an increase of $8 billion) as of September 30, 2014, representing about $100 billion increase from one year ago,” the bank said in its latest report on household debt and credit. “
The article goes on to explain just how this scheme is rigged to benefit the universities and not the students . Just another example of cronyism at the highest levels …
” By doling out a net average of about $100 billion per year in student loans, the federal government allows even the nation’s wealthiest universities to charge students more than they and their families can pay without going into debt.
That makes colleges richer and students poorer.
The federal government already has programs in place to forgive or payoff the student loans of Americans who engage in government-approved activities, or who do not do well enough financially in their after-college years to pay off their own loans.”
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