Nearly one quarter of millenials with student loans are living in a dream world where they expect banksters and the government someday will swoop in and, poof, their crushing load debt will be disappeared. Good luck with that kids. In the meantime, they can forget about buying that first starter house. Wouldn’t a better idea be to learn a skilled trade? After all, skilled trade jobs like being a plumber can never be outsourced to India. The work is generally steady and the pay can be quite good. This certainly beats amassing debt that will take years to pay off.
Average student debt for class of 2012 was nearly $27,000. For he class of 2014 it is estimated to be $33,000. That’s a sharp rise. Universities push the loans as they continually raise tuition. Banksters slice and dice the loans into arcane securities, with everything guaranteed by the government. Everyone makes money except for students, who often can’t find the jobs they were hoping for, so they move back home with their parents, delay getting married and buying a house.
Of course, with a slow job market, many millenials are going back to college, incurring debt, then using the money to pay living expenses, a desperation strategy that will not end well.
It appears the concept of no consequences is now deeply embedded in the American society. As Student loan debtloads surge ever higher – and opportunities grow ever lower – NBC News reports a rather stunning 24% of Millennials said they expect their loans will ultimately be forgiven, according to study released Wednesday by Junior Achievement and PwC US. That helps to explain why delinquency rates are at record highs – aside from the massive debtloads and no high-paying jobs – as students see bankers rigging every market in the world with little to no consequence, one can only imagine the lessons being learned.