Welcome Back Student Loan Servicers!

Over forty million Americans owe over $1.3 trillion in federal student loans. According to one study, student loan defaults average about 3,000 per day. And each year the federal government spends about $800 million to collect on that debt, principally by contracting with a “patchwork” of private student loan servicers. This is big business for …

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$1.2 trillion college loan bubble?

See also When everyone goes to college: a lesson from S. Korea. Returns to a “college education” are highly dependent on the intrinsic cognitive ability and work ethic of the individual. WSJ: College Loan Glut Worries Policy Makers The U.S. government over the last 15 years made a trillion-dollar investment to improve the nation’s workforce, …

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A 0.000007 percent chance

Hamilton Place Strategies Student loans continue to be a popular topic in the media, with most of the stories (at least upon a quick glance) focusing on how terrible the growing volume of student loans is.  A Google news search on one day for the phrase “student loan debt” turned up the following headlines among …

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The Financial Outlook in Higher Education

On the heels of Michigan’s two largest universities announcing tuition hikes I felt it pertinent to remind us “7 in 10 Undergraduates Get Financial Aid” (Chronicle of Higher Education). Put into another statistic, that’s 71% (according to the U.S. Department of Education’s National Center for Education Statistics). At Michigan State we have roughly 38,000 undergraduates …

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Student loan hysteria hits Yahoo

I’ve written in the past about the hysteria surrounding student loans, and the focus in the media about how student loans are the next “bubble.”  I recently published an op-ed in the Answer Sheet blog on education of The Washington Post in which I attempted to counter some of the rhetoric with facts about student loans.  The piece received a number …

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