Student loan debt is keeping a lot of people from accomplishing their financial objectives, according to a report released by the National Association of Realtors, including buying a home, taking a vacation, and starting a family, while also forcing more individuals to take second jobs or work where they are not happy to be able to pay their student loan debts.
More than one-fifth of individuals who earn less than $50,000 per year are in default on their student loans, according to the research, compared with 8% of those who earn between $50,000 and $100,000 and 3% of those who earn more than $100,000 per year. And only 25% of the individuals in the lowest income bracket are currently making payments on their student loans.
The report offers a ton of different data points looking at the impact of student loan debt on the lives of those who are touched by it, including former students, parents who are paying for student loan debt, co-signers, and others.
The percentage of individuals who had a “good understanding” of the costs of student loans prior to attending college were probably lower than you might think, with only 23% saying so.
Twenty-nine percent of participants in the report said that student loan debt had impacted their decision to purchase a home, while 35% said it was keeping them from going on vacation and 31% said it was keeping them from buying a car. Fourteen percent said student loan debt has kept them from starting a family and 12% have said it kept them from getting married.
