Social Security and Student Loan Debt

The disturbing trend of people losing Social Security benefits to student debt, By Danielle Douglas-Gabriel, December 20, 2016, Washington Post: “To recoup student-loan debt, the government is leaving people who rely on Social Security with benefits that fall below federal poverty guidelines, the Government Accountability Office said Tuesday.  The number of older Americans defaulting on education loans has steadily increased in recent decades, as many have returned to college or co-signed loans for family members. Unpaid debt has resulted in the government garnishing the benefits of 114,000 people age 50 and older in the past year, more than half of whom were receiving Social Security disability rather than retirement income, the GAO report said…”

Community Colleges and Federal Student Loans

The surprising number of community college students without access to federal student loans, By Danielle Douglas-Gabriel, July 1, 2016, Washington Post: “A growing number of community colleges are exiting the federal student loan program, leaving nearly a million students without access to low-cost options to pay for school, according to a new study from the Institute for College Access and Success.  The advocacy group found that nearly 1 in 10 community college students in 32 states have no access to federal student loans. Nearly half of these students are in California or North Carolina. In eight states, including Alaska, Alabama and Louisiana, more than 20 percent of students attend schools that have opted out of the federal government’s student loan program…”

State Community College Affordability

The student debt crisis at state community colleges, By Sophie Quinton, May 10, 2016, Stateline: “Community colleges charge lower tuition than just about anywhere else. They’re open to everyone. They offer the kind of technical training employers want. And they can serve as an affordable steppingstone to a four-year degree. As President Barack Obama said in the fall: ‘They’re at the heart of the American Dream.’  But while plenty of community college students graduate with a degree that leads to a better job, or to a four-year college, many community college students drop out. And a growing number of students are taking on debt they cannot repay…”

Consumer Debt Loads

How debt loads are changing for young and old consumers, By Jonnelle Marte, October 8, 2014, Washington Post: “The kind of debt consumers take on is changing. And the changes look very different by age, according to a TransUnion report released Wednesday that looks at the shifting make up of consumer debt loads over time. Not surprisingly, younger consumers are seeing student loans crowd out most other types of loans, says Charlie Wise, vice president in TransUnion’s Innovative Solutions Group. For instance, student loans accounted for 36.8 percent of the total debt load for consumers ages 20 to 29 in 2014, up from the 12.9 percent reported in 2005…”

Student Loan Debt Relief

Student loan relief: Obama’s order caps payments at 10% of income, By Christi Parsons, June 9, 2014, Los Angeles Times: “President Obama on Monday signed an executive order that lets millions of college graduates cap their student loan payments at 10% of their income, a move he says will help ‘open the doors of opportunity for all.’ By amending student loan regulations to put the cap in place, Obama is making use of his executive powers to help alleviate the burden for young Americans increasingly saddled with student loans . . .”