Why Is Student Debt Different From Other Kinds Of Debt?
washingtonpost.com — When it comes to consumer debt, Americans are slowly but surely starting to dig themselves out of the hole of the recent downturn. Severely delinquent mortgages, credit card bills, and car loans have all been in decline over the last two years, according to the New York Federal Reserve. But Americans have had significantly more trouble paying back one particular kind of loan. “Student loan debt continues to grow even as consumers reduce mortgage debt and credit card balances,” Donghoon Lee, senior economist at the New York Fed, said in a statement. “It remains the only form of consumer debt to substantially increase since the peak of household debt in late 2008.” Why are Americans having more trouble paying off student loans, as compared to other kinds of debt?