The Federal Reserve’s latest data this month reveals that student loan education debt in June has exceeded credit card fees, marking the first time in history that Americans have incurred more student loan debt than credit card debt.
Data from June shows that Americans had $826.5 billion in revolving debt, which is usually credit card debt, while student loan debts amounted to $829.78 billion.
An analyst correlates this rise in student loan education debt to the lingering economic recession.
“This is as much due to families paying down their credit card debt as it is to the growth in student loan debt,” Mark Kantrowitz of Finaid.org and Fastweb.org, the college scholarship and loan search web sites.
Kantrowitz foresee that student debt will “go up just like the sun comes up every morning.”
He calculates that there are outstanding amounts of $605.6 billion in federal student loan education debt and $167.8 billion in private student loans.
