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Top 10 Reasons Student Debt is a Barrier to Success

Written by Allison Vickers | Apr 25, 2023 5:28:30 PM

Student debt can be a barrier to success for several reasons:

1. Financial burden: High levels of student debt can result in a significant financial burden for borrowers, impacting their ability to save money or build for retirement.

2. Reduced career choices: Some borrowers may have to prioritize paying off their student loans over pursuing career opportunities that they are passionate about but may not pay as well.

3. Mental health impact: The stress of managing student debt can have a negative impact on borrowers' mental health, causing anxiety, depression, and other related issues.

4. Delayed milestones:  Student debt can delay major life milestones such as marriage, starting a family, or purchasing a home.

5. Limited access to credit: High levels of student debt can limit borrowers' access to credit, making it harder to secure loans for major purchases or investments.

6. Economic impact: The increasing levels of student debt can have a broader economic impact, affecting everything from consumer spending to entrepreneurship.

7. Limited retirement savings: High levels of student debt can limit the amount borrowers are able to save for retirement, making it harder for them to retire comfortably.

8. Reduced job satisfaction: Some borrowers may have to take jobs they do not enjoy in order to make their loan payments.

9. Limited geographic mobility: High levels of student debt can limit borrowers' ability to move to new cities or states, potentially limiting their job opportunities.

10. Long-term impact:  Student debt can have long-term consequences, impacting borrowers' credit scores, financial stability, and overall quality of life for years to come.