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Back everybody student loan debt is nearing one trillion dollars.
And for the first time ever the number of delinquent student loans.
Even credit card auto and home equity loan that's crazy so -- the federal lending program made it too easy for college students to borrow.
And are the alternatives to student loans are they out there are joining us right now is racist -- financial speaker and writer for the Dave Ramsey organization good to have -- this morning.
-- -- thank you thanks for having me are ready so these federal lending programs are designed to make college education more affordable but basically what's.
-- what's happening it's creating a pile of debt.
That's right so many students are believing in the -- can't be a student went out that's utilized -- assuming student loans are the only way to go to college.
Seems obvious what the downsides would be bad does -- put them up on the screen and how are people winding up with so much debt are there things that they don't realize going into it.
You know I think says some -- you know an eighteen year old doesn't -- that they may graduate with with 27.
Thousand dollars in debt faster or more -- -- And more -- right into the averages coming out of 27000 dollars -- an eighteen you'll really realizes how much money that actually ends with races they're 2.2.
I I feel like if I talk to the 21 year old version of -- they always say.
-- wish I had known that before I went to college and so I always tell high school seniors you guys you've got to look at the alternatives.
Well let's talk about than the alternatives what do you suggest me I don't people there are a lot of people out there who get scholarships it's sort of just comes easy for them but.
You know maybe people need to focus a little bit -- try to get those scholarships and less on just going right to be the borrowing.
-- exactly yes and I tell -- seniors and even.
-- students and college.
Applied for as many scholarships as possible -- thing makes you eligible.
For a scholarship and that may mean you know you have to write an essay or fell out of form they do that do the work we get scholarships it's free money.
And also you talk about not necessarily going to the school that sounds the best that's gonna cost an excessive you know even fifty grand a year.
A community college maybe your best option and in state school but I'm curious as to.
It is your thoughts why so many are delinquent today is that because of the recession is that because jobs are paying what they -- to.
Or students just not doing their homework because we talked about the -- there.
It exceeds even delinquent credit card payments.
Yeah absolutely you know I think.
Debt has become so normal in America today and so many students to see this high ticket priced -- -- -- college ahead of them and they get overwhelmed that's -- try to break it down for them and say.
-- that the average college student worked twenty hours a week.
They -- pay their way through an in state school.
And so they don't hear that I just wanted to go to the fancy college as I tell them -- stay in state take that in state tuition.
And go to community college for your first year to you it is possible it's possible to go to college without a seat on line.
Richard Cruz thanks so much anymore questions for her can -- her on Twitter that is Cruz CR UZE.
If you look at her.
For all your questions straight to her thanks for coming on thanks Rachel are coming --
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