Approximately 45 million Americans are seemly held hostage by about $1.6 trillion dollars in student loan debt. College is more expensive than ever but college graduates on an average earn 80% more than someone with only a high school diploma. There are approximately 20 million students and many have loans from either the Federal Government, private loan companies or both. Student loan is the second highest debt category with mortgages first, and is higher than credit card and auto loans combined. Careful consideration on decisions such as profession, school, and amount borrowing, will go a long way in helping to curb individual debt. The journey will not be easy but it is not impossible either.
Between 2018-19 the first eligible applicants enrolled in the Public Service Loan Forgiveness Program, submitted their application for loan forgiveness. However, of the approximately 110,000 applications received, only about 1,216 or 1.1% were approved. Almost 98.9% were denied for various reasons according to an article by the NASFAA. Based on these numbers, many are questioning the legitimacy of this program. Various articles for review and in-depth information is available for anyone currently on and wanting to enroll in this program.
New to student loans? The Master Promissory Note or MPN is available and should be reviewed before any decisions are made regarding taking out loans. If you are experiencing financial hardships and would like to put existing loans on hold, numerous types of deferments and forbearances are available for use.