Will there still be student loan forgiveness in 2019? Well, we're not sure but as we look at the student loan industry and as we reach 2019 the picture is a scary one. Today we are facing the highest amount of student loan debt this country has ever seen.
44 million American’s are on the hook for $1.5 trillion in student loans. This number has nearly tripled in the last decade and shows no signs of stopping anytime soon.
For students not able to pay out of pocket for their education, student loans are the only option they have. However, many students who went to a for-profit college were required to take out 2-3 times more loans than their state schools and university counterparts.
This means those who went to a for-profit college are more likely to have higher debt loads and to default on their loan payments.
When these students graduate or end their schooling, they are given a short grace period to start paying back on their loans and then they are often on the hook for $300+ a month. This is a lot of money every month going to paying off debt for the majority of Americans.
So where does the US stand with all those student loans as we approach 2019?
According to the latest statistics from the finance site Make Lemonade, student loans are now the second largest consumer debt category after mortgages. On average graduates from the class of 2016 owe $37,000 in debt and graduates of the class of 2017 over almost $40,000 in student loans.
A consumer report done by the Brookings Institute found that 40% of borrowers may default on their student loans by 2023. The overwhelming monthly payments make it nearly impossible to stay current on all payments.
The same report also showed that 250,000 borrowers default on their federal student loans each quarter and it takes nearly 19.4 years, on average, to pay off student loans.
Surprisingly, those borrowers with lower amounts of total debt have a higher likelihood of defaulting on their loans and not making a payment for at least nine months.
While these statistics are definitely surprising there are many ways to pay off your student loans in a timely manner that doesn’t break the bank.
We assist thousands of borrowers each year in finding the best solution for their student loan debt to ensure they are working their way to a debt-free future as soon as possible.
Generally, the best option is a student loan forgiveness program which allows borrowers to get the lowest monthly payment possible while working their way to forgiveness. The forgiveness aspect wipes away all remaining debt and will allow borrowers to walk away from the balance once and for all.
We advise you to contact us today to speak with a loan specialist who will assist you in finding the best available option for your situation.
Please note that all programs fill up quickly and will not be open for long. Make sure you hurry in so you get access while they still last! Experts are standing by and will gladly assist you.