Question of the Day: How many Americans have over $1,000,000 in student debt?
Hat tip to NGPF Fellow, James Redelsheimer of Robbinsdale Armstrong High School of Plymouth, Minnesota for providing today's Question of the Day.
- Did you think it was possible to have this much student debt?
- Analyzing the graph on the previous slide, what types of degrees typically result in the largest amount of student debt?
- Do you think someone with this much debt should be able to have some it forgiven by the government? Why or why not?
Behind the numbers (WSJ):
Due to escalating tuition and easy credit, the U.S. has 101 people who owe at least $1 million in federal student loans, according to the Education Department. Five years ago, 14 people owed that much. More could join that group. While the typical student borrower owes $17,000, the number of those who owe at least $100,000 has risen to around 2.5 million, nearly 6% of the borrowing pool, Education Department data show.
Help your students learn the consequences of student debt by playing PAYBACK, an award-winning college finance game.
About the Authors
Tim's saving habits started at seven when a neighbor with a broken hip gave him a dog walking job. Her recovery, which took almost a year, resulted in Tim getting to know the bank tellers quite well (and accumulating a savings account balance of over $300!). His recent entrepreneurial adventures have included driving a shredding truck, analyzing executive compensation packages for Fortune 500 companies and helping families make better college financing decisions. After volunteering in 2010 to create and teach a personal finance program at Eastside College Prep in East Palo Alto, Tim saw firsthand the impact of an engaging and activity-based curriculum, which inspired him to start a new non-profit, Next Gen Personal Finance.
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