With student loan debt surpassing the $1 trillion mark, many who graduate college find themselves facing a harsh reality. The payments they have to make on their education prevent them from achieving their goals, including the goal of starting their own business. It's not just recent graduates who face this issue, either. Many would-be entrepreneurs who graduated years ago find that their student loan debt continues to hold them back.
With more student loan debt piling up, creating different debt forgiveness and student loan relief programs has become a priority for the federal government, many state governments, and other organizations. This debt affects more than those wanting to start their own business. Several graduates find themselves unable to afford a mortgage or are delaying having children because of the financial impact their student loan payments has on their budget.
According to a Federal Reserve Bank of Philadelphia study in 2015, student loan debt is responsible for a number of potential business owners delaying the start of their company. This study built on a Gallup and Purdue University survey from 2014 that showed 25 percent of those surveyed, with student loan debt of more than $25,001, said they were unable to start a new business due to the debt.
While many debt relief programs exist, not everyone qualifies, which leaves some with no option but to delay their life goals to pay their student loans.
Find out quickly at what rate you can refinance your student loan.