The burden of student loans isn't limited to one demographic, but like most issues, some are affected more than others. The national debt has just passed $1.4 trillion and nearly two thirds of that burden is shouldered by women, according to a new update to the American Association of University Women (AAUW) report, Deeper in Debt: Women and Student Loans.
Because women have higher college enrollment than men, and currently earn 57% of bachelor's degrees, and graduate at higher rates, it may seem logical for them to have a higher portion of debt. But the gravity of the situation becomes clear when you consider that women are also paid 26% less than their male peers and default at higher rates.
Having student debt that is disproportionate to income would be a problem for anyone. That's where refinancing can help. Refinancing allows for a potentially lower interest rate and better monthly payment, and PenFed's flexible terms are designed to help get you out of debt faster without making your monthly payment unreasonable. Your new interest rate is determined by your financial situation now – not when you were 18.
The burden of student loans has touched the lives of every race and gender but in a recent article by The Guardian, the student loan issue is shown to particularly impact women.
On top of lower earnings, women also accumulate less wealth than men in financial assets, including home equity. The wealth gap is even more glaring for black and Latina women, many of whom actually end up with negative net worth later in life.