- The student loan default rate more than doubled between 2003 and 2011, and 40 percent of borrowers are expected to fall behind on their loans by 2023.
- “It’s going to be very consequential for the future of the country,” says Barmak Nassirian, director of federal relations at the American Association of State Colleges and Universities.
In many ways, Daniel Strong is happy with his life. He owns a three-bedroom ranch-style house in Charlottesville, Virginia, where he lives with his wife and 3-year-old son, Benjamin. He recently made the last payment on his silver, Toyota Tacoma. He likes his job.
But there’s one problem that won’t go away.
Strong and his wife owe more than $350,000 for their bachelor’s and master’s degrees.
“The huge monster in the closet for me are these student loans that keep getting bigger and bigger,” said Strong, 36. When they graduated, they were faced with monthly bills of around $800 each and have since struggled to keep up.
“It’s so stressful to think about the fact that you’re probably going to have to work until you drop dead at work because of your student loans,” Strong said.