Students hold $13B debt load, CFS says – Metro US

Students hold $13B debt load, CFS says

Ending up with $28,000 in debt is not the graduation gift post-sec­ondary students hope for, but it’s what lands in the lap of the average stud­e­nt, according to the Canad­ian Federation of Students.

Yesterday, the CFS announced on Parliament Hill that Canada’s students carry a $13-billion debt load and that 360,000 students required federal student loans this academic year.

But, it’s not just tuiti­on the mon­ey goes towa­rds, with some stud­ents biting bottom lips at the end of the mon­th when cash just isn’t there.

“I would have to say there’s at least a little bit of money mismanagement,” said student Sarah Code, who stay­ed with her pare­nts when she coul­dn’t afford to live alone.

Bruce Alger, a bankruptcy trustee and president of Alger & Associates Inc., said, “money’s an abstract concept” and “money handling ignorance” is what lands people in debt over their heads.

“It’s a lack of understanding of the concept of risk,” he said, adding student lo­ans are risky as students la­ck assets and security, and education doesn’t alw­a­ys mean a high-payi­ng job.