Study Shows Student Loan Borrower Igorance

While only 477 undergrads were interviewed (at 3 universities in the Bay Area), the stats leave little mystery as to why Student Loans have spiraled.

Highlights:

- 72.95% thought Sallie Mae was a person, not a company

- ​92.87% do not know the difference between subsidized and unsubsidized loans

- 97.90% do not know which loans accumulate interest in-school or during deferment

- 71.07% do not know the basic risks of a cosigner

- 75.89% with private student loans do not know the major differences between private and federal student loans

- 7.90% know their current interest rates

- 6.10% know their repayment terms

- 58.90% thought the total amount of outstanding student loan debt was in the millions (not billions or trillions)

- 96.02% did not know that student loan refinancing was an option after graduation

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Source: https://lendedu.com/blog/January-student-loan-survey