Depreciating cars and expensive diplomas fueled by easy debt: 95 percent of consumer debt growth in past 12 months from cars and student loans.
New data from the Federal Reserve continues to highlight a reemergence of debt based consumer spending. Americans are largely buying stuff they can’t afford with money they don’t have. The Fed’s consumer credit report highlights a troubling trend. Over the last 12 months 95 percent of all consumer debt growth has come from people buying […]
The frightening lack of accounting transparency in the student loan market: New York Fed has student loan debt at $1.027 trillion while Fed Board of Governors in Washington has it at $1.214 trillion.
You see what you want to see. This is the current state of the financial markets. When a handful of observers were warning the Fed and multiple government agencies about the subprime crisis floating in the market, hardly anyone wanted to listen. This is the same kind of accounting trickery that is now pervasive in […]
The day of reckoning for student debt has arrived and the bubble begins to deflate: JP Morgan exits the student debt market. Similar trends occurred with the subprime market in 2007.
The student debt bubble begins its inevitable decline from unparalleled heights. This week too big to fail bank JP Morgan issued a memorandum that it is exiting the student loan business. What is interesting in this move is that it is eerily similar to banking moves made back in 2007 as some banks started to […]
Line up and prepare for the next bailout in student debt: Student loan debt crosses the $1.2 trillion mark. $248,000 for an undergraduate degree?
The nation is fully engulfed in a student debt bubble. The problems with student debt are numerous yet this unrelenting bubble is allowed to grow like weeds in a garden. Going back to 2000 total student debt outstanding rested around $200 billion. Today it is over $1.2 trillion. Keep in mind that during this time […]
Arrested development courtesy of student debt: How student debt is putting the lives of many young Americans on hold.
Many young Americans view student debt as a necessary evil in pursuing higher education. The level of student debt now reaches Himalayan levels as many are falling behind on keeping up with payments. A double-edged sword has befallen young Americans. First, the path to middle class jobs no longer runs through a blue collar industry […]
The most delinquent loan of them all: Student debt delinquencies at record levels on the eve of rates doubling. Half of college graduates working in jobs where their degree is not required.
If the news for college graduates couldn’t get any better. Our woefully motivated millionaire Congress is unable to figure out what is necessary to stop the doubling of interest rates on student debt. While the Fed can turn on a dime to rectify zero percent interest rates for member banks, trying to help the youth […]
The facts behind the mountain of student debt: 13 percent of students owe more than $50,000 and nearly 4 percent owe more than $100,000. Student debt grew by 284 percent from 2004 to 2013.
Many Americans view a college education as a way to build a better life. College is seen as an avenue for better prosperity and the ability to pull yourself up beyond your current circumstances. In fact, after World War II programs like the G.I. Bill allowed many Americans the opportunity to pursue a college degree. […]