In recent years, the rise of the student debt crisis has intensified at an alarming rate. As people are sold on the idea of an American Dream that requires an expensive education, many find themselves crushed under the weight of thousands of dollars of debt following their graduation as they face an uncertain job market. And the problem can persist through their lives to when they should be thinking about retirement, as well.
According to reports by both the New York and Cleveland Federal Reserve Banks (as reported by Student Loan Hero), 2016 college graduates take an average of $37,000 in student loan debt with them when they leave school and Americans, in total, owe $1.3 trillion dollars to lenders for the cost of the college experience. After leaving the college campus behind, the nagging debt is taking its toll on borrowers’ places in the greater economy. Due to the cost of education, many millennials are putting off buying homes, having children, and starting new businesses. Not only does this lead to a depressed economy, but it also widens the wealth gap and causes many people to be left behind financially just as their adult lives are beginning.
With this existing as such an ever-present problem that touches the lives of approximately 44 million Americans and counting, let’s examine the cost of college and what the Trump administration plans to do about all of this.