Student Debt

GotCredit | Flickr | http://bit.ly/1TPsTLr

The Federal Reserve Bank of St. Louis just released a report about various kinds of debt and how it is impacting different populations in St. Louis, Memphis, Little Rock and Louisville. Spoiler alert: yes, student loan debt is still crippling the younger generation…as are car loans.

As the report points out, the delinquency rate for young borrowers has increased since before the recession. Such delinquency rates can mean a host of problems in accessing credit and the ability to save as young Americans start their adult lives.

Jonny Wade is to the left of Rep. Rodney Davis. Jonny's twin brother, Jacky Wade, is on the right in the striped shirt.
Rep.Rodney Davis' office

While the most prominent seat at Tuesday night’s State of the Union speech is likely to be the one left vacant in First Lady Michelle Obama’s guest box to remember victims of gun violence, several area lawmakers have invited constituents to join them for the historic event.

Wikipedia

From naming local post offices for fallen service members to changing the president’s signature health-care law, area lawmakers are beginning the 114th Congress ready to introduce a wide array of legislative proposals.

Every session of Congress sees far more bills introduced than could ever be considered, and most legislative proposals last only about as long as it takes a lawmaker to issue a news release announcing the bill’s introduction.

Illinois Holds College Financial Aid Workshops

Feb 2, 2014
Illinois Student Assistance Commission

Illinois governor Pat Quinn has announced free workshops across the state for college students and their parents to get advice on acquiring financial aid. The workshops will be conducted throughout February, which is Financial Aid Awareness Month.

Experts with the Illinois Student Assistance Commission will help families understand and complete the commonly-used FAFSA, or Free Application for Student Aid.

This article first appeared in the St. Louis Beacon. - The rapid growth of student loan debt -- now at $1.2 trillion -– is one more aftershock of the U.S. financial crisis that dried up funding for millions of families, said Rohit Chopra, assistant director at the Consumer Financial Protection Bureau.

arty representation of jackson on currency
_J_D_R_ | Flickr

In Missouri, the average student loan debt for people between 25 and 34-years-old has increased by about 120 percent over the past eight years. In Illinois, that number has jumped more than 140 percent, according to a report from the Federal Reserve Bank of St. Louis.

Nationally, student loan debt has topped the $1 trillion mark, surpassing credit card debt and auto loans.  

This article first appeared in the St. Louis Beacon: WASHINGTON – There was plenty of talk but no action when the Senate failed to vote on the student loan issue before heading out of town for the Fourth of July week. As a result, the interest rate on new subsidized Stafford Loans doubled last week.

But there is still a possibility that Congress might act to stop or limit that increase (to 6.8 percent) retroactively in the weeks before lawmakers depart on their August vacation – the month when an estimated 7 million new student loans start kicking in.