Grads Buried in Student Loan Debt, but Unwilling to Give Up Luxuries

[shtoopid]

Nothing new. It's always gonna be niggas in debt still coping designer, going to nice restaurants, hitting the clubs every weekend, getting bottles etc. and then crying about how broke they are in the morning. talmbout, "fuck lemme just drive to work on e to save money" shit baffles me every time. Unless you're close to someone like that it's awkward to bring up their finances without coming off as condescending or sounding like a "hater".

 

[CeLLaR-DooR]

http://finance.yahoo.com/news/college-grads-buried-student-loan-072616080.html

The majority of college students graduate with some level of student loan debt these days. Paying back what can sometimes be a huge mountain of loan debt is a harsh reality for many grads.

In fact, according to a new survey from Citizens Bank, millennial-aged college graduates are spending a whopping 18 percent of their salary on student loan payments. The survey found that 60 percent of millennials expect to be making payments on their student loans well into their 40s.

Although the Department of Education has determined the national average for student loan debt for college grads at $29,400, Citizens Bank survey found that average student debt for millennials is much higher — roughly $41,286.

Sadly, 15 percent of the grads surveyed said they didn’t know their total student loan balance and more than a third of grads (37 percent) reported being clueless as to their loans’ interest rate.

Watch the video of ‘Grads Buried in Student Loan Debt, but Unwilling to Give Up Luxuries’ on MoneyTalksNews.com.

Interestingly, despite sometimes burdensome loan payments, an large number of millennials are unwilling to prioritize student loan repayment over spending on luxury and quality-of-life items.

For example, when asked what they’d be willing to give up in exchange for lower student loan payments, this is what the survey revealed:

Less than half (45 percent) were willing to cut what they spend on eating out.

Just 46 percent said they’d cut their entertainment and social event expenses.

A mere 40 percent were willing to limit their housing expenses (rent or mortgage).

Only half of millennials were willing to slash their spending on clothes, shoes and accessories.

“They are very committed to living their life the way they want to live their life, and as frustrated as they are by student loans, they are not willing to make those lifestyle tradeoffs,” said Brendan Coughlin, president of consumer lending for Citizens Bank.

At the same time, more than half of millennials reported regret about how much they borrowed to attend college. And a startling one-third of grads said they would have skipped college altogether had they grasped how expensive it would be in the end.

“Unfortunately, the long-term cost of college is leading some graduates to question the value of their investment — in many cases, before they have fully explored their opportunities to significantly reduce their payments,” Coughlin said

Are you overwhelmed or do you have questions about your student loan debt and repayment options? We can help. Check out “Ask Stacy: What Can I Do About My Student Loan Debt?” Also, click here and we’ll help match you with a reputable expert that can help you make a plan for getting out of student loan debt.

Are you — or your children — paying on student loans? How much of your annual salary are you forced to fork over for loan payments? Share your college loan experiences below or on our Facebook page.

This article was originally published on MoneyTalksNews.com as 'Grads Buried in Student Loan Debt, but Unwilling to Give Up Luxuries'.

Sounds kinda bad who they askin'? If you're already livin' in a dump, it's not unreasonable to wanna stay insteada movin' some place worse.

 

[The Iconoclast]

The interest rates are the real kicker and a lot of the graduates not being fully cognizant of some essential things you need to know about loans hurt as well.

I'd be interested in data differentiating the student loan debt stats by employment industry/degree. I'm sure that unfortunately a significant % of them obtained degrees with a bad ROI.

 

[TheNightKing]

I'll be paying student loan debt on the income based plan until the 25 years are up. Then they'll write off the remaining balance and I'll pay the taxes on that. Student loans are bullshit bruh, but the schools pushed that shit on the kids like it was all good. I know we have personal accountability, but who at 18-21 going to turn down $5k refund checks?

 

[StillFaggyAF]

Articles like these make it seem like the student loan problem is not the serious issue that it is and put all the blame on students

 

[usmarin3]

I wish i know then what i know now. All this shit (education, home ownership,etc) are created to keep your ass in debt. The American dream is a scam created by the banks and wealthy to sell a facade.

 

[Melanin_Enriched]

I wish i know then what i know now. All this shit (education, home ownership,etc) are created to keep your ass in debt. The American dream is a scam created by the banks and wealthy to sell a facade.

What you mean by home ownership b?

 

[jetlifebih]

Good example example of a part of the "system"

 

[usmarin3]

I wish i know then what i know now. All this shit (education, home ownership,etc) are created to keep your ass in debt. The American dream is a scam created by the banks and wealthy to sell a facade.

What you mean by home ownership b?

a 30 year mortgage is straight debt. Plus when you do pay off the shit, you still have to pay property tax on something you owned outright. That doesn't even make sense to me.

It's a cycle and it goes like this

Go to college- on average the typical graduate coming out 40k in debt

Get married - on average the typical wedding cost 27k in debt

Buy a house - on average the typical home ownership debt is 120k

Then you have kids, kids have college fund. It's all a cycle.

 

[jono]

College debt sucks but if you graduate they can't repossess your degree. Fuck em and tell em to take it in blood.

I feel bad for people who have debt and nothing to show for it

 

[mryounggun]

This doesn't shock me. The incentive to prioritize isn't really there in a lot of cases. If you tell a 25 year old that cutting back on nights out with friends or a gym membership or whatever will result in them only paying off heir loans at 45 instead of 50...they're not really gonna give a fuck.

And I can't say that I blame them.

 

[EmM HoLLa.]

I wish i know then what i know now. All this shit (education, home ownership,etc) are created to keep your ass in debt. The American dream is a scam created by the banks and wealthy to sell a facade.

FACTS! I been tryna tell cats..

 

[Ghostdenithegawd]

I wish i know then what i know now. All this shit (education, home ownership,etc) are created to keep your ass in debt. The American dream is a scam created by the banks and wealthy to sell a facade.

What you mean by home ownership b?

a 30 year mortgage is straight debt. Plus when you do pay off the shit, you still have to pay property tax on something you owned outright. That doesn't even make sense to me.

It's a cycle and it goes like this

Go to college- on average the typical graduate coming out 40k in debt

Get married - on average the typical wedding cost 27k in debt

Buy a house - on average the typical home ownership debt is 120k

Then you have kids, kids have college fund. It's all a cycle.

27k tho cmon man 27k??????????? That can't be an average wedding

 

[Ghostdenithegawd]

And u can pass that house down you can't pass any of that other shit

 

[usmarin3]

I wish i know then what i know now. All this shit (education, home ownership,etc) are created to keep your ass in debt. The American dream is a scam created by the banks and wealthy to sell a facade.

What you mean by home ownership b?

a 30 year mortgage is straight debt. Plus when you do pay off the shit, you still have to pay property tax on something you owned outright. That doesn't even make sense to me.

It's a cycle and it goes like this

Go to college- on average the typical graduate coming out 40k in debt

Get married - on average the typical wedding cost 27k in debt

Buy a house - on average the typical home ownership debt is 120k

Then you have kids, kids have college fund. It's all a cycle.

27k tho cmon man 27k??????????? That can't be an average wedding

Wedding plus honeymoon

 

[Olorun22]

I wish i know then what i know now. All this shit (education, home ownership,etc) are created to keep your ass in debt. The American dream is a scam created by the banks and wealthy to sell a facade.

FACTS! I been tryna tell cats..

So what do yall suggest

 

[usmarin3]

And u can pass that house down you can't pass any of that other shit

If you can pay the shit off. Not to mention all the cost of owning a home like new roof, new appliances,etc.

 

[jetlifebih]

And u can pass that house down you can't pass any of that other shit

The hustle is the same way college students don't want to give up their personal perks like gym, clubs and extracurricular activities that cost money

They are telling our grandparents and grandparents to "reverse the mortgage" and sell the house back to the bank, take the money and live comfortable for the rest of their life while fucking their future generation by taking wealth(property) away and giving them cash which usually wounds up mis-spent

So black wealth usually never transfers because people are selling their house befor they pay it off while still dying with debt and no wealth is passed through each generation

My father inherited a house(paid off) in queens and sold it when we moved to New Jersey...I still to this day ask him what the fuck were you thinking selling real estate in New York City....

 

[leftcoastkev]

Banks win.

 

[Young_Chitlin]

In the conference calls i have not been shy talking about my debt-

$31,028.86 in total debt

$2,038.51 in Wells Fargo CC

$5,408.35 in US Bank CC

$8,803.03 in student loans

$14,778.97 left paying my car

Debt is something that if you have a plan, you can get rid of. It may not be overnight or in two weeks. You can get out of debt in a pre-planned timeframe (est December 2017 for me, maybe sooner). Get a part time job if you have to. Cut your lifestyle down... Who are you trying to impress? Rather, why are you trying to impress those people?! What I consider "going out" is working out at the gym, buying chips at the dollar general, things like that. What you cannot do is what these millenials are doing, which is giving up. Have a plan, have belief in your plan and then execute your plan CARAJO.