North Carolina has released a report that reveals over 300,000 people in the state have defaulted on their student loans. This amounts to billions of dollars owed. Nationally, one in five student loan borrowers are in default.
Almost 300,000 North Carolina College Borrowers are in Default, Owing Billions– legalinsurrection.com
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EXCERPT:
This is probably true in multiple states. Imagine the numbers for California.
Nearly 300,000 North Carolina college-goers are in default, owing billions in student loans
Nearly 300,000 North Carolina college-goers have defaulted on their federal student loans, collectively owing $7.8 billion, data analyzed by the Associated Press shows.
About half of those people, owing an average of $26,500, have gone into default just since last September.
Since then, federal policies on student loans have changed and some repayment options are gone or about to go away. At the same time, the number of federal employees working on students loans has been slashed, noted Julia Barnard, a former ombuds for the Consumer Financial Protection Bureau. Record complaints have come in, and many borrowers are being given varying information about how much they actually owe, Barnard told WRAL News.
That, paired with affordability issues more broadly, lead Barnard and other experts to project the numbers will only grow.
“It’s going to get a lot worse before it gets better,” Barnard said.