The increase in the student loan debt has serious implications for consumers. The average student loan delinquency rate is 8.8%.
According to the Consumer Financial Protection Bureau, student loan debt recently reached a new milestone, crossing the $1.2 trillion mark — $1 trillion of that in federal student loan debt. On the other hand, the Federal Reserve Bank of New York recently indicated that student debt is the only kind of household debt that continued to rise through the Great Recession and has now the second largest balance after mortgage debt.
About 44% of student loan borrowers are not yet in repayment due to deferments and forbearances. About 17% of borrowers are past due on their student debt more than 90 days, a large increase from under 10% in 2004. 44% of borrowers are not yet in repayment, and excluding those, the effective 90+ delinquency rate rises to more than 30%. The transition rate of borrowers in repayment from current to delinquent has been rising since 2008 from around 6% to nearly 9%.
CONSUMER provides counseling to consumers who are facing problems in the repayment of their student loan debts. One of our certified counselors can evaluate your loan repayment alternatives. They will contact the agency in charge of collecting this debt in order to explore options on your behalf. Similarly, they will prepare a budget to help you comply with the established agreement.
You may set up an appointment at any our branches by calling 1-800-717-2227 or (787) 722-8835.
My Money Checkup
To help you better understand your personal finances and to help you improve them, we need to know a little about you. So answer the questions in each section as well as you can, and we will generate personalized advice for your financial life.
My Money Checkup is a tool that allows you to better understand the status of your personal finances, how you can improve your situation, and your options for the future. You just need to answer some questions, after which you will be provided a summary of your current financial situation as well as some recommendations.
Once you finish the analysis, you may request a free counseling session with one of our counselors at any of our branches by calling 1-800-717-2227 or (787) 722-8835.