Submit Your Student Debt Story
The Latest Story
By all measures I had success with my student loans. I graduated grad school in 1997 owing about $92,000. I deferred the loans for a couple years, then went into repayment mode after consolidating them into a 30 year $650/mo payment schedule. This was about 1999 and I was about 30 years old. My student loan was higher than my rent. Early on, there were times I had to use payday loan services to buy food and pawn shops for the same.
I paid off those students loans last year, about 13 years early, which may sound like a success except the way I did was by throwing every extra penny I got into those loans instead of the economy. I bought my last new car in 1995. I bought my first house at the age of 45. Throughout all of those years, money I would have spent in the local economy on durable consumer goods/house supporting ALL the jobs those industries create, got nothing from me because Sallie Mae took it all.
There is a ripple effect that comes from crippling student loan debt -- even if a person is able to personally overcome the loans, it means he or she is not spending money in a way the generates work for other people -- the debtor is just making the banking class richer as they leach wealth and income out of the economy.
Even though I won't directly personally benefit from solving the student debt crisis, I wholeheartedly support any means to fix the problem. Our entire labor market depends on people being able to afford certain high value items (cars, homes, appliances, computers, etc.) and the student loan crisis poses a salient threat to that labor market by siphoning off any semblance of disposable income into the pockets of organizations that generate nothing of any utilitarian value -- just useless profit for the 0.01%.