Student loans are “government-endorsed debt”
Student loans have been described as “government-endorsed debt on a massive scale” by one leading expert.
Chris Tapp, associate director of national money education charity Credit Action, believes that while student loans in themselves do not pose much of a problem, they do feed into a culture of debt.
He adds that the average student now leaves university with £13,500 of debt and they “have grown very used to spending three or four years of their lives living in debt, spending money that isn’t theirs that they’ll have to pay back and probably borrowing on an overdraft and credit card at the same time”.
Mr Tapp compared this with the situation 50 years ago, when people had a “healthy amount of caution” before taking out credit.
Nowadays, people are “extremely odd” if they do not have “a substantial amount of debt” he continued.
People who are in debt and would like help with their finances may wish to seek debt help.
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