In a previous article, we noted the increase in credit card and auto loan debt, along with increases in delinquencies and defaults. In this article, we'll move on to student loans, the total balance of which has tripled since the Great Financial Crisis that began in 2008.
Student Loan Snapshot
Average balance
The national average student loan debt per borrower is approximately $35,210.Average monthly payment
According to Federal Reserve data, most borrowers pay between $200 and $299 per month, depending on factors like loan amount, interest rate, and repayment plan.Delinquency rate
According to a September 2024 article in The College Investor, around 7 percent of student loans are in default at any given time.About 92 percent of all student debt consists of federal student loans; the remaining 8 percent is private student loans. After the latest round of forgiveness, the Biden administration eliminated $167 billion in student loans for almost 5 million people, benefiting about 10 percent of student loan borrowers, according to the Department of Education (DOE).
