WSJ: Consumers now have more student loan debt than credit card debt
According to the Wall Street Journal, Americans owe approximately $826.5 million in revolving credit debt, which is mostly made up of credit card debt. But the outstanding student loans–both public and private–total approximately $829.785 billion. According to experts quoted in the story, there is $605.6 billion in outstanding federal student loans and $167.8 billion in outstanding private student loans. It’s estimated that $300 billion in federal student loan debts have been incurred in the last four years.
The story attributes this shift to Americans paying down their credit card debts, which usually carry higher interest rates than student loans, as well as the rising costs of higher-education.
Student-Loan Debt Surpasses Credit Cards | The Wall Street Journal | August 9, 2010