Nearly 40% Of Student Loan Borrowers To Default By 2023

"The analysis 'suggests that nearly 40% of borrowers may default on their student loans by 2023,' a staggering number if one assumes the TBAC's forecast that there will be roughly $2.5 trillion in student loans outstanding by 2020 (see chart above). It would mean that no less than $1 trillion in student loans will be in some form of default in two years, an outcome which will necessitate another indirect, if ultimately taxpayer funded bailout from the US treasury: recall that the vast majority of student debt is currently issued by the US government."