In the United States, student loan debt has reached an unprecedented $1.26 trillion, exceeding credit card debt and second only to mortgage debt, and the average student today will leave college with nearly $30,000 in student loans.
For many, this financial burden has become unmanageable. Student loan debt can not only affect daily financial decisions, but also prevent graduates from working toward and achieving long-term goals, such as purchasing a home and starting a family. Furthermore, the student debt crisis has created a niche for debt relief companies to scam students by promising loan assistance or forgiveness for an upfront fee, which bears some resemblance to the rise in foreclosure-rescue scams during the mortgage crisis of 2007 to 2009.
Here are some more statistics: of $1.26 trillion in student loan debt, Direct Loans account for about $911.6 billion and 30.5 million borrowers; FFEL loans (Stafford, Unsubsidized Stafford, Federal PLUS, and Federal Consolidation) account for about $342.6 billion and 16.8 million borrowers; and Perkins loans account for about $8 billion and 2.7 million borrowers. Also worth noting is that the majority of the student debt “bubble” has accumulated in the past ten years, as total student loan debt has increased by 84% since 2007 when our current recession began.
If you are struggling with student loans, you may feel overwhelmed or unable to find a solution, but there are people who can help. At Agruss Law Firm, LLC, we have helped thousands of clients in debt find the relief they need. Contact us today to find out how we can assist you.