Student loan interest rates resume, after 3 years on pause
Abigail Army spent the last eight years getting advanced degrees and racking up six figures in student loan debt.
Abigail thinks its about 100-thousand owed fear keeps Abigail from checking. She said "it sucks like that's just plain and simple as it is .
It's scary, and I wish that it was different." Abigail has plenty of company. The Federal Reserve reports 43-million Americans have student loan debt totaling a staggering one trillion dollars of borrowed money. Quincy Wansel just graduated in May from Rutgers University Camden.
She wants to get her Master's degree, but she's holding off because of her student loan debt. She said "putting school on the back seat and continue with work because I'm not able to pay $8,000 out of pocket to be able to go to school now."
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Student loan payments were put on pause during the Pandemic. The Biden administration tried to get student loan debt forgiven, but the plan didn't get through Congress.
Starting September first for the first time in three years interest on Federal student loans will begin accruing. Borrowers have until October first before the first payments are due again. Carl Gould is a small business and financial advisor.
He said "I would not be expecting the government to come rescue your loan. You've got to pay it back. And that's a harsh reality."
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He said borrowers must come up with a plan to pay off student loan debt sooner rather than later, even if it means taking on second job. He suggests employees ask their employers for help paying off the debt.
Gould said, "I would say, look, here's what I’ve learned, here's what I can here's what i can apply in the job here. Here's the extra value that i believe it has to the company and ask the company to consider to pay the student loan back for you while you're in an employment there."