Graduating can be cause for celebration (you survived countless essays, a few all-nighters, and those pesky required math classes), but it can also spark fear as your student loan bills loom large. If you haven’t found a job by graduation, your anxiety could kick into overdrive.
Kristen P. Lindgren, a psychologist and researcher, explained why student loan-debt dread is no joke—and why you’re not alone if you feel this way: “US young adults face the largest student loan burden in history, rising income inequality, and economic uncertainty.” That debt burden exceeds the total debt owed for auto loans or credit cards in the United States and is second only to mortgage debt.
If you’re staring down what feels like a mountain of student loan debt, you can’t wait for the government to reform federal loan practices or schools to curb their tuition hikes. You need a job, preferably one with student loan repayment assistance.
Why does student loan debt feel so bad?
Maybe you’ve heard about good debt and bad debt. Good debt increases your net worth or has future value. A mortgage and student loan debt are considered good debt. Bad debt, on the other hand, doesn’t offer any long-term benefits and might cost you a lot more, such as a runaway credit card or a payday loan.
Why is it that even though student loans are considered good debt, they often feel so bad? It’s a mixed bag, and it can depend on your personal situation. Here are a few reasons student loans can have so much emotional baggage:
- Regret: Many people sign up for student loans right out of high school. Looking back, you could feel as if you didn’t understand what you were getting yourself into and now it’s too late.
- Shame: In addition to interest, debt can carry stigma. You might not feel as if you can talk with anyone about it, which can feel like a heavy and lonely burden.
- Disparity: Research shows that women and Black Americans struggle more to afford their student loan payments because of long-standing systemic inequalities in pay and hiring, which could make you feel angry and powerless.
- Feeling stuck: It can feel as if your payments aren’t doing anything but paying the interest, which continues to accumulate. You could feel as if you’re not making any progress.
- Strain: Whether real or perceived, experiencing financial strain could lead to a higher rate of mental-health problems.
- Intangible: Unlike a house or a car, your student loan debt is abstract. A college education doesn’t guarantee future value even if the odds are pretty good. That can leave you feeling as if you made a bad choice if you’re struggling to find a job or make enough money to pay down your loans.
