...that Regressive Republicans and Corporate Democrats don't want you to know.
- Total Student debt in America has surpassed $1 Trillion, and is higher than credit card debt at $793 Billion.
- The amount of Student loan debt has gone up 275% in the last 10 years alone.
- In the last 20 years tuition and fees have doubled, yet median household income has risen only 2.1%.
- Bill collectors can legally garnish up to 25% of your wages if you default.
- It is the only form of debt that cannot be discharged in bankruptcy in normal circumstances.
There is another factor that may explain this, for-profit colleges. While states and the federal government have been actively underfunding public universities and community colleges, for-profit schools have filled the gap. Close to one in four students who attends a for-profit school defaults on his or her federal student loans within 3 years of leaving school. This high rate of default combined with the fact that nearly all students at for-profit schools must borrow money to pay the cost of tuition, has resulted in a sector that enrolls approximately 10 percent of American higher education students but accounts for nearly 50 percent of all student loan defaults. Despite poor student outcomes, for-profit schools are highly profitable companies. Profits at 16 of the largest for-profit schools totaled $2.7 billion in 2009.