In the United States roughly 20 million individuals attend an institution of higher learning. Of that population, nearly 12 million (60%) funded their education through student aid and/or loans. With that being said, it’s no surprise that in 2010 student loan debt surpassed the amount of credit card debt held by young people.
Rising tuition costs coupled with inflation has left many students facing a lifetime of loans In fact, Congress failed to encumber an interest rate hike for Federal Stafford Loans which doubled it from 3.4 to 6.8 percent last year.
In the coming years, student debt is expected to eclipse $1 trillion and continue growing at a rate of 10% per year thereafter. So what’s this mean for the future? Well, based on the current inflation rates, researchers are predicting tuition costs in 2030 (for public institutions) to be somewhere in the ballpark of $41,000 and $50,000. But don’t let this stark reality discourage you from going after your degree. In collaboration with the debt counselors at Consolidated Credit, we’ve put together a visual history from the past 60 years which will help you weigh your financial options, including alternative financial aid, and scholarships. Also, be advised that professionals are on hand to assist you throughout the process.