Right now, the U.S. economy is booming. Jobs are plenty. The stock market is at record levels. And millennials, thanks to student loan debt, aren’t happy. There’s been a major shift over the past several years. Younger generations are taking to socialism. A big reason has to do with the Great Recession that ravaged almost a whole decade, from 2008 until recently.
Most Americans today wouldn’t get a passing grade if we were to examine their financial habits, and not all of it is their fault. Student loan debt has crippled younger generations.
There are a decent number of people who snap out of their nightmare and realize, with a few changes, they can find that seemingly elusive financial freedom. Debt is a choice and even a lifestyle for many chasing the golden dragon.
Student Loan Debt Continues Rising
Student loan debt continues to climb to all-time highs each respective year. It seems as if personal and other types of debt follow along with it. The warning signs are not enough to keep people from continuously adding to their debt or refusing to make better financial choices. They want the good life without knowing how to pay for it.
To learn more about student loan debt and how to conquer it, call Financial Helpers today! We’d love to hear from you! You can reach us at:
Call Now 844-332-2079It’s starting to take a toll on them and their well-being. Let’s look at five financial facts that should have you extremely worried:
1) People Aren’t Taking Care of Themselves
It was recently found in a study by the Pega group that most people are likely to take care of their health when they’re financially stable. They make it a priority when they have the money to pay for things like insurance. It also says that these people put off caring for their health when their budgets are tighter or they have a lot of debt.
It begs to wonder how many Americans can take care of themselves at all. Half of all Americans are maxing out their credit cards. Student loan debt is crippling millions. Many are missing payments, and overall debt is rising into the trillions. How many of us really can’t afford basic necessities?
Considering the insane amount of instability in the market and the economy, it shows very little Americans have their health care covered. The reality is, this only makes it tougher on people to get by. Sickness and injuries will require a lot of time off or even require expensive treatment. What is one to do? Student loan debt only makes it worse.
2) Our Well-Being is Also Going Down
There’s a report released every year by a company called Temkin Group. They surveyed 10,000 people and ask them questions regarding their happiness and financial security.
Less than half of the people surveyed said they were financially secure, which has been a downward trend. The other points, such as “I am typically happy” and “I am healthy” have taken a tumble as well. Those with student loan debt were found to mistrust any positive economic indicators.
We know that correlation isn’t always necessarily causation. But, the truth is, it should be easy to speculate here that the drop in satisfaction in one’s life. It has to do with the stresses that come with their financial situation. Having student loan debt, being unable to afford insurance, and more. Basic necessities are now becoming a premium commodity only a few can afford.
3) We’re Sacrificing Our Future
Here’s another astonishing statistic. 54% of American don’t believe they’ll make enough money to cover their future financial goals. This includes retirement. It gets worse as each generation passes. People graduate college with so much student loan debt that are unable to do things like get a car or buy a house. They owe too much.
We’ve covered several stories about licensed workers losing their license to work in states because they owed money to creditors. Chasing the American dream has led a lot of people to remain disillusioned and frustrated. They’re unable to achieve their goals and live paycheck-to-paycheck.
4) We Don’t Do Basic Research Before Major Purchases
Doing research before buying a house or a car is a MUST! The problem is, a large majority of consumers just go with the financial institution they bank with. It’s ‘simpler’, but it often costs them thousands in the long run. Not all loans are the same, so we shouldn’t treat them like they are.
Adding debt to debt does not put anyone in a good situation. You may have a desire for a brand-new car or to start a family. It’s one most of us have. But are you really looking at the numbers? If you have student loan debt, can you afford the extra debt? It only sets you back further. The best course of action is to wait until you pay back debt before accumulating more.
5) Life Insurance Takes a Backseat
People don’t like talking about death, so they ignore that conversation. Inheritances and wills are often shunned because it’s not really something we enjoy discussing. But most Americans don’t even know the basic parameters of life insurance and all it can help cover. They aren’t prepared for the eventual.
Life insurance can cover a variety of needs and should be an investment and it’s important. This includes covering our own funerals. We can leave our loved ones with a burden of more debt if we don’t. These expenses are passed down to family members.
These issues aren’t just a blip in the radar of American life. These are massive problems that have been escalating for a decade or longer. Student loan debt makes life much more difficult for all involved.
If you have massive student loan debt, things will not better for you until you take care of it. There are ways to better deal with this burden and become financially free. We can get over this hurdle together, but we must realize we’re headed in the wrong direction. Make the active decision to get your financial life straight.