Student Debt FAQs & Investment Comparison

Student debt has generated concern for nearly a decade. General debt levels are on the rise, several lawmakers are calling for student debt cancellation, and payments for many have even been paused due to the pandemic. There is a perception that student debt is the largest debt burden many Michiganders face and could be a barrier to increasing postsecondary enrollment. But this is not the whole story. Student debt is not the most prevalent debt, just the most talked about. Not every college student and/or graduate has student debt and it is surprising to see who owes the most and who is defaulting. This briefing lays out the basics about federal student debt in Michigan and compares it to the another form of consumer debt, car loans.