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Debt Stories

It’s not too late to share your #studentdebtstress story

In May, we asked you to tell us your #StudentDebtStress story by July 13th. It’s not too late to share your story.

Over 40 million Americans are working to repay more than $1.2 trillion in outstanding student loan debt.

Some borrowers have already shared with us their experiences with their student loan servicer (the company that sends a bill each month). We’ve released the first batch of your stories and we encourage you to take a look at what we’re hearing from the public at regulations.gov.

The Lumina Foundation’s “Where Financial Aid Began: Partnering with Campuses and States”

The last time we checked in, we shared Part 3 of the Lumina Foundation and Institute for Higher Education Policy’s Looking Back to Move Forward: A History of Federal Student Aid. It’s a great documentary series on the evolution of federal student aid. 

Student Stories: The Devastating Impact of Some For-Profits

The post and video below are from CNNMoney

Students across the country are shelling out tens of thousands of dollars for degrees that end up being completely worthless.

Burned by a Career-Ed Program: Real and Raw Student Stories

The U.S. Department of Education plans to release its final "gainful employment" rule in October 2014. The draft rule, circulated by the department earlier this year, proposed cutting off access to federal financial aid for career-education programs (many of which are at for-profit colleges) whose graduates have high student loan default rates or high levels of student loan debt relative to their incomes. It is essential that the department adopt a final rule with strong protections for students.

During the month of May we asked students to submit their stories as public comments on the department’s draft “gainful employment” rule. Many of the student victims who have been exploited and defrauded by career-education programs offered compelling evidence of the need for stronger protections. Here’s what some of them had to say:

New Report Finds Student Loan Debt Increases by Over Ten Percent

A report shows that student loan debt has increased 10.5 percent in just one year. According to The Project on Student Debt at The Institute for College Access and Success (TICAS), from 2011 to 2012, average student loan debt rose from $26,600 to 29,400.

CFPB Report Finds Private Student Loan Borrowers Have Real Concerns

As college tuition and fees continue to rise, more students are finding that they have to turn to private loans - which are usually tagged with higher interest rates and less consumer protections than federal loans - in order to finance their degree. As of July 2012, about 850,000 private loans were in default.

This new report from the Consumer Financial Protection Bureau (CFPB), summarizes roughly 3,800 complaints on private student loans received from October 1st, 2012 to September 30th, 2013. The most common complaints reported by students were having difficulties making advanced payments on their loans

#OutWithStudentDebt Video Project to Award $500 Each to Three Top Video Submissions

Led by Student Debt Crisist, a number of groups have decided to collaborate on the #OutWithStudentDebt Video Project – an initiative designed to help shed the stigma of shame and embarrassment that comes along with the burden of student loan debt.

These are the faces of our student debt crisis.

Last week, President Obama signed the Bipartisan Student Loan Certainty Act into law, effectively guaranteeing potentially sky-high interest rates for future students. However, even though Congress made the wrong deal for students, student loan interest rates are really the symptom of a much larger disease. College costs too damn much! And, that’s the real issue affecting millions of Americans.