Economic Woes: Student Loan Debt Crisis Is About To Get Worse

by | Oct 17, 2018 | Headline News | 40 comments

Do you LOVE America?


    As politicians continue to point to a booming economy with a low unemployment rate, the real evidence that those surface numbers aren’t reflecting reality are becoming more apparent.  The student loan crisis in the United States is about to go from bad to worse too, heightening economic woes.

    The global debt crisis has been front and center lately, with many economists sounding alarms about how dire that situation is.  In fact, debt is so out of control across the globe that most of it will actually never be paid back. And the United States is committing suicide with their runaway debt problem.  It’s gotten so out of control, that the student loan debt problem is about to get a lot worse too.

    According to a report by Bloomberg, the next generation of college students will usher in more borrowers who will take out more money in the form of student loans that they will never be able to repay. As the cost of tuition and borrowing (thanks to rising interest rates) continue to rise, the result is a widening default crisis that even Fed Chairman Jerome Powell labeled as a cause for concern.

    Student loans have seen almost 157 percent in cumulative growth over the last 11 years, making this particular crisis fairly easy to visualize. By comparison, auto loan debt has grown 52 percent while mortgage and credit card debt actually fell by about 1 percent, according to a Bloomberg Global Data analysis of federal loans. The most staggering number that’s hard to imagine is the whopping $1.4 trillion in federal student loans out there, marking the second largest household debt segment in the country, after mortgages. Even more horrifying, is that that number keeps growing.

    “Students aren’t only facing increasing costs of college tuition; they’re facing increasing costs of borrowing to afford that degree,” said John Hupalo, founder and chief executive of Invite Education, an education financial planner. “That double whammy doesn’t bode well for students paying off loans.”  Yet instead of bucking the system and learning a trade, younger Americans tend to think that the piece of paper offered after completing 4 years of college is worth a six-figure debt – even though they know the job they will get afterward will not help them to pay it off.

    Plus, with a financial crisis brewing underneath the “stable” economic numbers, analysts worry that the next generation of graduates could default on their loans at even higher rates.


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      1. They will default in droves…..and YOU (the tax-payer) will end up bailing out the “2-big-2-fail” banks that loaned them the money. And since these brats with worthless degrees will be unemployable, they will vote in a Socialist that will take even more of your money to support them all. I believe it will be called a ‘universal income’…they believe they are owed this entitlement. And they will take it by force (revolution).
        This is the future of America…and it is GRIM.!!!!

        • JJ, they’ll TRY to take EVERYTHING by force but they will FAIL. I don’t feel sorry for any of those young libturd morons who decided to go for insane degrees like LGBT studies, etc. They made their own bed so they need to just lie down on them.

          • Oh goody I get to pay for MORE peoples god damned kids!
            2 properties with about 70% of taxes for SOMEONE ELSES KIDS.
            Get to pay full amount on income tax while people that have kids PAY LESS!
            Now I get to bail out their offspring for more school shit!
            I want a line item veto on my taxes. PAY FOR YOUR OWN KIDS SCHOOL!

            • If the ptb want population reduction all they have to do is just that, MAKE PEOPLE PAY FOR ALL THEIR KIDS SHIT! See how many people in the USSA think twice when they get the full bill!

          • exactly

        • A woman will now head the army’s largest unit.

          Women have no business being in the police or military whatsoever. The more women involved in politics, the more oblivious a country is to reality.

          White women side with muslims over their own men. As if white men who pay 75% of the taxes are somehow oppressing them.

          I hate them. I hate the fact that a woman can have any standing other than cattle.

          Women must be dominated by men in order for a society to thrive.

          They’re too immature to handle any big responsibility.

          Day by day my suspicions are confirmed to me.

          • Eisenkreutz, I disagree with you. Your post is about as ignorant, immature, and prehistoric as any I have read recently.

            You hate the fact that women can have any status other than cattle? Really? Women are too immature to handle any big responsibility? Really? You’re joking, right?

            Are you part of a religious cult that believes everyone outside their cult is/are cattle? If so, that would help explain everything about your post.

            Anyway, if anyone in the room has to grow up, it just might be you. Think about that a bit, will you.

        • Or we can fight with what ever means it takes to keep our Constitutional Republic!

          • That would mean stop enlisting for the military and fighting for the NWO power grab across the globe. Staying HERE and fighting for US for a change. But hey, wrap a turd in a flag and put a cross on it and people will eat it like a burrito. Critical thinking, questioning shit, a thing of the past…..

      2. Devos just lost the court battle last month for Borrower Defense against schools like ITT-Tech that totally lied to students about a myriad of things.

      3. They could work that debt off with the one thing the young have over everyone else: youthful bodies. In an aging population, hookers should be getting a premium and a year or two of escort work should get rid of that debt.

        • Frank Thoughts:
          Throughout history the Ju has been the main promoter of prostitution and slavery.

          I bet 100 to 1, you are a descendant of Cain, a Devil in shoe leather.



      4. The worst tsunami of all time will be made of red ink and it will drown countless people.

      5. Nothing matters as long as the wealthy become wealthier. If that means tens of millions homeless without any prospect of living wage employment who cares? Close to cave man days and the beasts eating them are engorged fat obnoxious warmongers with mouths dripping blood.

        • Aljamo:

          Dramatic words, but true. The people become homeless while the billionaires squeeze the middle class out of their last few dollars. This is Communism destroying the middle class.


      6. Student loans aren’t going to kill the economy, instead it’s programs that steal money from taxpayers to fund illegal immigrants to pay for their college. Like Oregon’s ORSAA, free tuition but you must be “undocumented” to even qualify. Thanks to POS Kate Brownie.

        • Infidel:

          Kate Brownie? Is she related to the Brownie who did such a piss poor job of getting FEMA assistance to LA after Hurricane Katrina?

          ORSAA is free tuition for illegals? Is that a law or a joke?


          • Yes, free tuition for illegals, paid for by taxpayers.

      7. I really don’t have any sympathy for these students.
        Everywhere I’ve ever worked there was a tuition reimbursement
        program. Between the GI bill and employer tuition programs,
        I earned a STEM degree while working full time. I went to very expensive private schools. It took a lot of years but I graduated with no debt. I figure my degree paid out about $20,000 per year over what I would have earned without a degree.
        I also had a good technical schooling( military) and had served an apprenticeship in an un-related field(prior to the military).
        I was making good money before I earned my degree, so I also know you don’t need a degree to earn a decent living. What people need to do is select a profession that you want to do that people will pay you for!
        If you are stupid enough to go $100,000 in debt for a degree that will only get you a job that pays $35,000 per year starting out, you aren’t all that bright, and I’m surprised you could earn a degree.

        • If your planning on going to college at least learn a trade that is or will be in demand. Robotics tech, Medical, Chemist, etc.

        • My father paid for his college education with the GI Bill and a newspaper route (so he likes to brag), and working construction during the summers.

          I paid for my education with student loans and by taking 3-years off to save. My freshman year completely cleaned-out my savings account. It took me 7-years to pay my student loans back. This, when I was just starting out and had a car loan to worry about.

          These kids today are getting creamed. Today, just one year at my alma mater would have covered all 4-years of my college education — twice.

          Something is really, really wrong.

          • I recently checked on the tuition costs at my Alma mater.
            I’m class of 90. I was paying over $200 per quarter credit hour.
            Today 28 years later it is about $800 per quarter credit hour.
            This is a private university. Price doesn’t seem out of line given our Government policy of at least a 3% per year inflation rate.

            • @rellick.

              “The current inflation rate for the United States is 2.7% for the 12 months ended August 2018, as published on September 13, 2018 by the U.S. Labor Department.”

              You do realize that the official inflation rate is a lie. And a bald-faced lie at that. Anything the government says is a bald-faced lie.

              Maybe incomes have risen by 2.7-percent but not incomes.

              And how much has the value of the dollar fallen in 28-years?

        • “If you are stupid enough to go $100,000 in debt for a degree that will only get you a job that pays $35,000 per year starting out, you aren’t all that bright, and I’m surprised you could earn a degree.”

          I paid 220 bux to get into a job that I could make 80K if I wanted to work a lot. But I did my time and set myself up right and debt free and only NEED to work 5-6 months a year. I work when I want, and have fun the rest of the time. Well not all fun, a lot of work on the mountain cabin and plan C. I am fortunate and SMART! 😛

          • The trick is, live WAY below your means and don’t buy new shit (let someone else take the value hit) invest in remote land and do shit yourself. Don’t play the markets, invest in metals when they are low, buy stuff at yard sales etc., shop craigslist for materials, tell the Jonese’s to fuck off when they go bankrupt and you are riding it out just fine!

            • Also learn other trades on the side. Solar, Mechanics, Etc. Side work is your friend and if your main income takes a crap you have backup. Solar is not hard to learn if you have any electrical ability. Equipment can be found on craigslist cheap. Use it for install jobs or just resell it. But know what you are talking about before you do. Most areas will pay 40 per hour for a backyard mechanic that is good. Sell firewood, recycle metals, handyman jobs, paint houses, all pay good. If your broke…. your stupid!

      8. These fraudulent credentials were not necessary or useful, except as a market control.

        I’m sorry; if you have a good, verbal memory and spacial reasoning, most people should not be taught technical skills, much less at public expense, much less, to receive a social promotion.

        But, private guilds and clubs are a free market alternative. Probably, no better time, than during an age of apps.

      9. The tech / trade school comments are a joke.

        So many of these jobs are being taken over by computers. Print Production has almost completely been taken over by PCs. Everybody thinks they are an artist.

        Automation is taking over the airline industry. The pilot’s days of living like a king (or queen) are over.

        Welding machines are displacing welders left and right. Just look at the automotive industry.

        Just wait until AI and the robots take over. Lawyers are disappearing left and right.

        Hollywood is refusing to pay these movie star salaries anymore. The industry is moving to Vancouver British Columbia. Carrie Fisher will be making movies forever.

        It’s all just one big lie. Welcome to the Third World of the World.

        • You are right. I work all over the world and you are going to hate me for this: I train up people and put in place systems in third world countries to replace all those expensive jobs done by lawyers etc. I figure at my age it is one and I am done (another ten years to set up the final clear out of middle class and upper middle class jobs). By then I will retire to my beach hut in Nicaragua and Fly over my network of hotties to party and chill. The hut is paid for and I don’t need much to live on: Internet connection, low meat and mostly seafood diet, books, excercise and sport and sex to pass the time. I will make sure to have a laugh when I catch up on the news back home. Last time I visited it was mostly Muslim so I didn’t feel like I recognised the place anyway.

          There isn’t anything more I can do to save the dying beast that is America.

      10. It use to be that you only went to college if you really, really wanted to set the world on fire. What does that even mean anymore?

      11. Try reading.

        People can get a very good education on their own if they just learn to read well. Most young people today are lousy readers. Many learned to read by the wrong method. This was the intention of educators to keep people in school longer without actually educating them. A high school graduate in the 1950’s was better educated than a college graduate today. Likewise, people in the 1880’s were better educated than in the 1950’s. Why? Enemies!! Enemies within.

        _ some ways to help yourself

        Get some old phonics books. Learn from the beginning. Always keep a paper dictionary for reference. What your enemies fear is an educated man because a truly educated man is harder to manipulate.


        • I love reading. I don’t care for all the stories left on YouTube. It takes some character 90 minutes to tell their story and a few rants when it could have been in print and read in 10 minutes. YouTube or television is great for showing how something is done so I don’t hate it all. Okay, I like the crazy pet clips too; need a laugh now and then. But the written word is my main source of information whether online or in print.

      12. Solution is simple: Get a degree that is worth more than what it cost you to get it.

      13. If your getting an education in something that is salable with a good income the money spent will come back in spades; medicine, engineering and I hate to say finance are examples. Far too many have been sheltered by their parents from economic reality and get educated in something they like that isn’t marketable. They flaunt an art degree like its equal to being a physician or electrical engineer. Education W/O a job at its end is a luxury of the already wealthy.

        • How about majoring in liberal arts lol. Take a picture of a shit you took while camping in a flowerbed and sell it for 100K. People pay outragious currency for the stupidest shit. Maybe jesus in your toast? Pet rocks? Some idiots actually have the dinero to buy this crap….

        • That lesson was drilled into my by my parents way back when. It was certainly fine to have a degree and encouraged, but mom and dad always made sure we girls had a plan to fall back on which consisted of a saleable skill of some sort such as typing well (back in the day). This was back in the days where a family relied upon the husband to be the breadwinner and the wife used her “fall-back plan” for an emergency or if she were suddenly widowed and on her own.

          And, we were also expected to get a part time job to contribute to our higher education which began at a local college not a high priced university where we also had part time jobs to continue contributing plus summer jobs. Those moneys were not be spent frivolously either or we’d hear about it. Parents did not have a money tree in the back yard (hear that pretty often.

          If we chose an area of study regarded as impractical, we had to justify it with how we would make a living with it. I was an art major so my justification was to teach art. Then I got discouraged when I saw in a few classes what went into teaching. I didn’t like what I saw; it wasn’t about teaching skills–more like indoctrination. No wonder schools are like the are. So I aimed first at accounting but tech snagged my attention then back in the days when a printer was the size of your furnace.

      14. I feel for these kids.
        I got student loans in the 90’s to pay for 2 years of Automotive school and it took me 23 years to pay it off.

        And mine was only 5 figures !!

      15. In the mid 1990s I put myself through school working 3 jobs and using Student Loans – at >9% interest rates.

        During this time, Senator Dianne Feinstein was on a committee overhauling the Federal Student Loans system. Her husband ended up making millions upon millions of dollars because he was deeply entrenched as a Student Loan banker/financier. Should D Feinstein have recused herself from this committee business? Of course, and she got less than a feather slap on the wrist. Some things never change.

        As for me, I continued to work three jobs seven days a week and am proud to report I paid off every single penny of my loan within 15 years. I drove a crap car, lived in a crap apartment, but paid ALL my student loans back.

        I still live in the same crap apartment (worse now) and drive a crap car but I did pay off my debt. My friend, the doctor, brags how he never bothered to pay his student loans back.

        I used to wonder if I had been stupid but now I am more proud of paying back my 35K+ @9% interest student loans than the degrees I earned. The degrees that got me my crap apartment and my crap car!

      16. The stench of fraud is deep. The colleges make upmfake classes and degrees and charge astronomical prices for left handed puppeteerimg degrees like lesbian art theory where no graduate can get a paying job in such. They charge them books, fees, tuition, dorms, meals, and committee fees and allow them to charge up fees for extracurricular group fees while indoctrinating them into sociialism and communism. Any parent allowing these so they can have a false semse of parental accomplishment bragging “my kid is at college” are the idiot culprits. When they move back into their kiddie rooms in your house dont complain, its your own fault. Parents dont know how to parent any certainly dont know how tomorepare thier kids how to launch successfully in todays changing economic environment. They cannot even perform due diligence on the future needs of the economy and steer their offspring into those lucrative fields. Critical thinking skills are in short supply today. They think allowing their kids to get a phd in cd rom technology is something to brag about even when you cannot buy a computer today with that outdated tech. Colleges should be held responsible for this bullshit. Also, giving extra credit to students to protest only right wing or conservative functions should be banned and professors fired. They are there to teach in an unbiased manner, period. If they are not there to teach and grow and provide a higher probability of success financially then why are kids going to college? Its about graduating so you can get a job thats pays you beyond a living wage. What else is the reason? If you cannot eat and die because you cant support yourself the idea of gaining education is a moot point. You wont die smarter because starvation will kill you before you can get an education or become smarter. Colleges provide a false narrative that education makes one smarter who gives a shit if they die of starvation before said education can be attained! We need a full on depression to stop this insanity because the bullshit narratives will wash away then. We killed off the good seeds in war. Where patriots with balls and morals died for the freedoms that these snowflakes enjoy while destroying freedom. Time for a great culling of the snowflakes here at home by allowing a depression. Starve the snowflakes off at home vs sending our good smart boys to other nations to die while protecting the borders of another nation when we wont allow them to protect our own borders here at home. Maybe our boys would then be stronger and a larger group here to protest the leftist. Right now you rarely see the right massing up and protesting because they are all away protecting other nations while these snowflakes gather here to protest their ill gotten freedoms and rights to protest. Its like begging govt to stomp on them economically then physically. Socialism then dictatorship. They are educated cockroaches with a degree in moronic justice.

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