Collateral Damage in the Subprime Market (GoldSeek.com)



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Collateral Damage in the Subprime Market (GoldSeek.com)

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Student loans are available to students (and parents) in need ofhelp with living costs while studying and working on a degreeprogram. For many students, student loans are their largestsource of cash and income (in some cases, their only source).What often happens, is students acquire multiple student loans,then begin to have cash flow problems, which leads to charges onone or more credit cards. These credit cards are typicallyissued with very high interest rates, often 20% or higher. Thisis a severely problematic financial trap, and a very tough wayto get started in life for a young person who is still in schoolor just about to graduate.

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