New York -
Student debt has soared by 60% in the last 5 years. Families are co-signing on loans, dragging a generation into the brutal realities of personal debt. The US is going to pay a hideous, perhaps fatal price for its education blunders.
If there’s a hot topic on Earth, it’s the cost of education. The almost unbelievable stupidity of crippling, not to say insane, costs is generating a lot of anger, with good reason. Berea College is an exception that’s created a new paradigm.
In 2006 US students took out a total of $85 billion in loans to pay for their education. Now, a new scheme cuts subsidies to lenders by $18 billion to pay for the changes to Federal Family Education Loans and Direct Loans which halve their interest rates.