How the Student Loan Crisis Is Hitting 40 Million Consumers

NEW YORK (MainStreet) -- The student loan crisis is showing no signs of slowing down.

According to an Experian report, some 40 million consumers have at least one student loan, with the average consumer holding 3.7 student loans. The average balance per loan is $9,000 and stands at $29,000 per consumer. Student loan debt jumped 84% since the 2008 recession, the only debt category to increase.

Student loans carry debilitating impacts, often delaying important milestones for young people, including marriage, having children and buying a home.

"Student loans are the only credit vehicle where a lender continues to extend credit year after year without knowing the person's ability, or even willingness, to pay,” said Michele Raneri, vice president of analytics at Experian. “The borrower may not yet have had the chance to demonstrate positive payment behaviors, which is a criteria used in other types of lending scenarios."

Continue Reading on MainStreet

More from Debt Management

How to Calculate Your Net Worth and Pin Down Your Financial Health

How to Calculate Your Net Worth and Pin Down Your Financial Health

Five Signs You're Getting a Raw Deal From Your Financial Adviser

Five Signs You're Getting a Raw Deal From Your Financial Adviser

How to Protect Yourself and Your Family From Long-Term Care Insurance Scams

How to Protect Yourself and Your Family From Long-Term Care Insurance Scams

Why Property & Casualty Insurance Should Not Be Optional

Why Property & Casualty Insurance Should Not Be Optional

Bouncing Back From Bankruptcy - Sooner Than You Think

Bouncing Back From Bankruptcy - Sooner Than You Think