(NEW YORK) — Two out of three college students graduating this spring will have student loan debt, with the average loan amounting to nearly $25,000. And as costs continue to rise, the amount owed is piling up, causing many borrowers to fall behind on their payments.
Almost every year, college tuition costs go up faster than inflation, making the bills tough to pay.
As Gerri Detweiler of Credit.com notes, “Student loan debt is becoming a huge problem for so many Americans students and their parents.”
She says student loan debt is approaching $1 trillion.
“It’s larger than auto loans and it’s larger than credit card debt,” Detweiler explains.
And it can be hard to pay off.
“We have over five million Americans who are behind on payments on their student loans,” she says.
Detweiler’s advice to students? Take out federal student loans not private ones.
Copyright 2012 ABC News Radio
Sarah Anderson, Deseret News
Kristen Shanahan, KFOR