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HomeEducationAcademic InnovationStudent loans are one of the biggest debts in the USA

Student loans are one of the biggest debts in the USA


Student loans are among the most onerous forms of debt because they can rarely be canceled through bankruptcy. After the housing bubble burst, similar outfits targeted consumers facing foreclosure and those behind on their credit cards, leading state and federal regulators to crack down on abuses.

The US government has an array of free borrower-assistance programs. Former students can temporarily stop payments or make smaller ones because of hardships, such as an illness or job loss. Borrowers can sign up for plans that tie payments to their incomes and the size of their families. In some cases, over time, the loans can be forgiven. Former students can consolidate multiple loans into a single debt with one payment.

Many borrowers trying to get ahead through education end up with nothing but mountains of debt. Their problems only get worse when unscrupulous businesses take advantage of them.

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