Student debt in 2019 has ballooned to over $1.5 trillion owed by a collective 44 million borrowers.
According to the Institute for College Access and Success, student loan debt is in second place for the highest debt category, number one being mortgage debt.
That means student loan debt is higher than both credit cards and car loans.
Student loan fast facts from Forbes.com:
- Total Student Loan Debt: $1.56 trillion
- Total U.S. Borrowers With Student Loan Debt: 44.7 million
- Student Loan Delinquency Or Default Rate: 11.4% (90+ days delinquent)
- Direct Loans - Cumulative in Default (360+ days delinquent): $101.4 billion (5.1 million borrowers)
- Direct Loan In Forbearance: $111.1 billion (2.6 million borrowers)
For many borrowers (890,516 to be exact) Public Service Loan Forgiveness may be the light at the end of the tunnel.
As of September 30, 2018:
- Public Service Loan Forgiveness total borrowers: 890,516
- Borrowers who submitted applications: 41,221
- Total number of applications: 49,669
Number of applications approved: 423
Number of applications denied: 32,409
- Number of applications denied due to missing information:11,892
- Borrowers who have received student loan forgiveness: 206
- Total dollar amount forgiven: $12.3 million
72% of applications are denied due to not meeting the requirements of the program.
Reasons for an application not being approved include not having eligible student loans, not making 120 qualifying payments or having qualifying employment.
Another 27% of applications for public service loan forgiveness were denied simply due to missing information on the certification forms.
Since June 30 of 2018, only about 300 borrowers have received public service loan forgiveness based on more than 73,600 processed applications. which is less than 1%.