Скачать или смотреть How Student Loan Debt Can Impact Your Life - HERE'S HOW

How Student Loan Debt Can Impact Your Life - HERE'S HOW
#studentloanforgiveness #studentdebt #studentloandebt

Student loans are among the most common sources of debt in the United States. In the United States, there is more than $1.7 trillion in student loan debt, with the average borrower owing nearly $30,000 to their lenders.

Student loan debt is another type of "sticky" debt. While you can discharge other debts through bankruptcy, it is nearly impossible to discharge student debt without paying it in full.

Student loans can have a significant impact on your life, and the effects can last for decades after you graduate from college.

How student loan debt can affect your life

Students who graduate with debt will experience the consequences of their debt for years after graduation.
In addition to the stress and anxiety that large amounts of debt can cause, student loans can force people to make difficult decisions and postpone important life events.

Here are some examples of how student loan debt can affect your life:

• May rush into a job to meet repayment obligations

• Reducing your net worth

• Delay the borrower's ability to purchase a home

• Put a borrower's ability to start a family on hold.

• Could have an impact on your marriage

• The possibility of poor credit if payments are missed

• May cause people to forego attending college.

• Life goals may be postponed.

May rush into a job to meet repayment obligations.

If you have student debt, you must pay your loan bill each month.
The bill can be substantial depending on how much you borrowed.

According to an American Student Association study, nearly half of graduates believe their debts have hampered their ability to advance in their careers.

Someone who does not have student debt can be more picky and take the time to find a job they truly enjoy.

They'd also be free to take risks in pursuit of higher pay.



Reducing your net worth

Few students graduate from college with a large net worth, but those who avoid student loans will graduate with a net worth close to zero.


This will not have an immediate negative impact on you, but it may have a number of minor effects that you will notice over time.

If you have a low net worth, you may have difficulty making large purchases because you lack the necessary funds.

It can also make loan qualification more difficult.

While a college education continues to significantly increase overall career earnings, it can take a long time for graduates to come out ahead when compared to people who take on no debt.

Delays the borrower's ability to purchase a home

Borrowing money with a mortgage is one of the most common ways to buy a home.
You already have one large debt to repay if you have student loan debt. It can be difficult to manage a mortgage payment as well as a student loan payment.

Debt can also make it difficult to qualify for a mortgage in the first place.

A Federal Reserve study examines the impact of student loans on homeownership rates. A 10% increase in student loan debt corresponds to a 1.5% drop in homeownership rates.


Prevents a borrower from starting a family.
There is no doubt that having children is costly. A child from birth to the age of 18 costs about $233,610 on average. That works out to nearly $13,000 per child per year.

If your budget is already stretched by student loan payments, adding another $1,000+ per month obligation will almost certainly break it.

Children can also add complications and stress to a life that is already stressful due to debt.

This may cause many people to postpone starting a family until they have paid off their debts.

Has an impact on your marriage

Getting married can affect your student loans by changing your income for income-driven repayment plans, for example.





If you have difficulty making payments, you have poor credit.

Your credit score has a significant impact on your financial life. Paying your student loan bills on time can help you build credit.

Missed payments, on the other hand, can severely harm your credit.

Due to the difficulty of many student borrowers in making payments, the average credit score for someone with student loans is lower than the national average.

The average student loan borrower has a credit score of 656, while the national average is 711.
This is a significant difference, and it can take years for a student borrower's credit to recover after missed or late payments.

Prospective students avoid college because they are afraid of incurring debt.
The prospect of incurring tens of thousands of dollars in debt can be intimidating, so many students may decide to skip college entirely in order to avoid incurring college debt.
If college debt were less of a barrier, more people would be willing to pursue higher education, increasing their lifetime earnings and creating a more educated workforce.