MADISON, Wis. — The Consumer Financial Protection Bureau today announced that the amount of debt on federal student loans alone exceeds one trillion dollars, and the total student loan debt in the U.S. has surpassed $1.2 trillion. Original research by One Wisconsin Institute found the dramatic, negative economic impact of student loan debt on home and new car purchasing. The following are the statements of One Wisconsin Now Executive Director Scot Ross:
“Students and their families have done the right thing – they’ve worked hard to get a higher education or job training, and they’ve taken on the responsibility to pay for it.
“But the news today that student debt from federal loans now tops one trillion shows the consequences of a system tilted against them.
“Student loan debt is a clear and present danger to our economy. Under the current system, student loan debt has grown 20% between 2011 and May 2013, and these latest numbers show we’re well on the way to making the $1.2 trillion crisis a $2 trillion crisis.