May 16, 2011
College Debt’s Impact is Growing
Forty percent of college graduates today have difficulty repaying their student loans, but few realize how many options they have to get relief by renegotiating them.
The non-profit American Student Assistance (ASA) counsels students on how to deal with onerous loan payments. When students call ASA, repayment counselors tell them their options include extending the life of the loan, which reduces the monthly payments, or making graduated payments, which increase as their paycheck increases in future years.
Some borrowers may even be able to qualify for postponing payments or canceling some of their debts.
Borrowing on college campuses has reached crisis proportions, according to ASA. Total student loans outstanding have surpassed the $900 billion mark. Rising tuitions and stagnating household incomes due to the recession have only increased American families’ reliance on debt to fund college. …Learn More