Tuesday, February 21, 2012

A Shift In Thinking

"Feb. 16 (Bloomberg) -- Roshell Schenck has a PhD in pharmacy and earns $125,000 a year, yet can’t qualify for a mortgage for a house for herself and her 9-year-old daughter. The 2008 graduate of Lake Erie College of Osteopathic Medicine, in Erie, Pennsylvania, has more than $110,000 in student debt."

It seems to me that there has been a change in the way several generations view debt.  The boundaries have moved quite a bit in the past twenty years or so.

“I wouldn’t be looking at jumping into another $100,000 of debt to own a home,” said the 31-year-old single mother. “I don’t think jumping into home ownership would be financially reasonable.”

Bloomberg student loan news and the ripple effect that the 1 trillion dollar debt is having on the recovery.

1 comment:

  1. Very simple, banks don't want to lend in this economy. They'd rather take their money from QE and park it at the FED.

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