By now more than 44 million Americans collectively hold over $1.7 TRILLION in student debt, and this number keeps growing every month.
Right now, software innovation is making it difficult to earn a decent salary if the student does not have some type of advanced college degree. Although this is just one of the reasons why today College is more expensive and relevant than before, it puts people in a situation where they need to decide between going into debt, or miss out on the benefits of being competitive with a college degree.
As the years go by, student debt keeps on growing and growing, even in the context of a global pandemic. And you might be wondering, how does this affect the students?
The side effect that stands out the most about the ongoing student debt crisis, is that people have put a pause on their personal lives; according to Bankrates survey, 21% of college students and graduates delay marriage, 26% push back on starting a family, and 36% have put off buying a home.
It is also significantly harder for them to make decisions for the future; questions like where to live, what to study, wondering if they will be able to afford a car loan, and more, all come with unclear answers that end up affecting their mental health on a daily basis.
How student debt affects mental health
The relationship between financial and mental health is a fact. Having debt significantly increases the likelihood of depressive symptoms.
Many people report that they have skipped medical care, housing payments, and modified their consumer purchasing behavior, or just skipped vacations due to their debt responsibilities. There is evidence that as debt burden decreases, depressive symptoms also decrease.
Unfortunately, there is a reason to worry. Pew Research reports that student debt can dramatically change the financial landscape of a person’s life. Households headed by a young, college-educated adult without any student debt obligations have about seven times the typical net worth of households headed by a young, college-educated adult with student debt.
This is a current crisis that has to be take cared of. And that’s the reason why students would need to explore other financing options that allow them to improve their living and achieve their professional and personal goals.
Here at Defynance, we understand how difficult this this can be and acknowledge the importance of mental health for one’s success. That's why if you look into our ROEP marketplace, you'll find a category dedicated to wellness and health resources to help you out in situations the these. If you create an account with Defynance, you’ll automatically get direct access to this. If you have any questions, reach out to us! We're happy to help.
