Without a doubt, young people today start their adult lives burdened with more student loan debt than previous generations. News of the student loan debt crisis continues to permeate our society with the media hyperfocused on the total amount nationally, which continues to rapidly increase. In fact, there are now 45 million borrowers who collectively owe nearly $1.7 trillion in student loan debt in the U.S. As a result, student loan debt is now the second-highest consumer debt category—behind only mortgage debt—and higher than both credit cards and auto loans. The average student loan debt for members of the Class of 2018 is $29,200.
Personally, I’ve been on both sides of the student loan debt crisis. Earning my master’s in 2018 marked my second debt-free degree. However, when I married my wife, she carried over $60,000 of student loan debt and the first two years of our marriage were spent crushing that debt.
Frustration Fueled My Motivation
The media loves focusing on the most extreme cases such as the borrowers who exceed debt in the six figures. Insane stories like this one constantly fueled my motivation to do something as I’ve witnessed firsthand how this crisis has dramatically affected people’s lives. As the situation continues to spiral out of control I was sparked into action. So, I decided to write a book as my “answer” to the crisis!
Consider the Shocking Statistics
- $1.7 trillion in total U.S. student loan debt
- 45 million Americans with student loan debt
- Nearly 70% of students take out loans to help pay for school
- 11.1% of student loans were 90 days or more delinquent or are in default (pre-pandemic pause)
- The average monthly student loan payment was $300 (pre-pandemic pause)
- Students borrowed an estimated $102 billion for the 2019-20 academic year alone
Sources: Data via the U.S. Federal Reserve, TICAS.org, and the College Board.
The REAL Problem
Student loans aren’t the reason there’s a student debt crisis in America. The loans are simply the symptom of a much bigger issue. The real problem is that there’s not adequate education, information, or support systems in place to assist students (and their families) to make smarter college choices while they are still in high school. The issue is threefold: 1) lack of awareness, 2) lack of resources, and 3) most importantly, lack of financial literacy/education.
Imagine a world where the government was committed to financial literacy as well as wellness and invested more in helping families make smarter college choices. What if our society spent more money, time, and attention on addressing the student loan crisis by educating students before they take on the debt? Well…until then, you have this book!
My book IT IS POSSIBLE! is a result of being galvanized from constantly hearing about the student loan debt “crisis” which has led to the outcry for student loan debt “forgiveness.” Instead of fighting for Band-Aid solutions, let’s educate aspiring college students and their parents on how to avoid student loan debt in the first place. Consider people like my aforementioned wife Amethyst who once carried over $60,000 in student debt or Tim (who wrote the Afterword of my book) and LeAnn Norris who had over $400,000 in student loans. All three of them made monumental sacrifices to pay off that debt. Yet many others in similar situations find themselves struggling to repay their student loans.
Change is Coming
The student loan debt crisis has gone on long enough! It’s time to radically change the way we view traditional college. We must stop taking on $80,000 of debt in exchange for a $35,000 a year job. Fortunately, there are a lot of efforts underway to help people with student loans, including a growing number of employers that are committing themselves to financial wellness with college coaching and student debt repayment benefits. Let’s alert young people about risk and reward and provide them with knowledge and tools to make informed decisions about their education and future employment. There are many different resources out there that can help you pay your way through college.
So, how do we avoid student loan debt in the first place?
Education should NOT be a DEBT sentence
Don’t believe the lie that says, “The only way you can go to college is to take out loans.” My book proves that IT IS POSSIBLE to earn a degree without amassing tens of thousands of dollars in debt. Learn from not only my story of earning two debt-free degrees, but from other individuals who also achieved the same accomplishment – all through a variety of methods.
The book provides relevant information to help potential higher education students graduate debt free by:
- Understanding the real cost of college
- Learning how to find millions in unused scholarship and grant money
- Exploring more cost-efficient means to traditional college
- Saving money while in college
This book was created to inspire and encourage you to realize that IT IS POSSIBLE to walk across that stage and be handed a diploma instead of receiving bills in the mail for student loan debt to be repaid. Additionally, it shows you that life can be lived a different way—a way that does not include constantly feeling stress, anxiety, and depression over money.
Did You Know? 70% of college students leave college with debt. Become part of the 30%!
Jason is also the author of Margin Matters: How to Live on a Simple Budget & Crush Debt Forever.