Data from the New York Federal Reserve showed a 55 percent increase in the average student loan debt held by 25-year-olds between 2005 and last year. Overall debt, however, fell during the same period by four percent, an indication that the younger generation is de-prioritizing student loan debt in favor of other debt payments.
CCCL said that avoiding student loan debt is not necessary, because so many debt relief options are available to consumers. Debt consolidation loans and debt management programs help lower monthly payments so debtors can afford to pay for other expenses.
Such programs are recommended for individuals with credit card, personal or medical debt. Debt reduction is also another alternative that consumers should consider in working to pay down debt and improve their credit scores.