The Great American Student Loan Debt with Emma Crawford

In America, student loan debt has exploded over the last twenty years, with the average inflation-adjusted federal loan debt per student rising from under $29,000 in 2011 to nearly $40,000 in 2020. Students and their parents are paying an increasingly costly price for college education, outpacing growth in expected starting salaries.After more than three years, loan payments are coming due again after the expiration of a Covid-era forbearance program put in place under President Trump and extended under President Biden. My guest today, Emma Crawford, is intimately familiar with student loans as both a borrower as well as a former university aid advisor, and now as a financial planner.Emma Crawford is the former Director of Financial Wellness and Financial Aid Advising for the University of Wisconsin School of Medicine and Public Health. She holds the Certified Financial Planner (CFP) designation and is a fee-only financial planner for Perk Planning, based out of Madison, Wisconsin. Emma joins me on the show today to discuss the evolving and complicated world of student loans for the first two-thirds of the show. The final third of the interview is dedicated to discussing the equally convoluted world of financial planners and advisors. We discuss the nature of fee-only advising and who may find this type of service appropriate. Topics Discussed with Emma CrawfordWhen student loan payments are due after the expiration of Covid-era forbearanceWhere to find information about your loans and loan servicersHow Emma used the loan forbearance period to improve her financial situation and lifestyleThe importance of automatic payments and how utilizing automation can save you moneyWhat is Public Service Loan Forgiveness (PSLF) and who is it for?Other repayment optionsInvestigating typical interest rates on student loans and weighing debt paydown against other investing opportunitiesFederal vs private student loansCan loan forgiveness policies be reversed or overturned in the future?Why has student loan debt become so politically fraught?Balancing the cost of education with expected career choices and payConsidering costs of education beyond tuitionHow to avoid loan default and what happens to those who defaultHow Emma pays off student loans and other debt while investing for retirement at the same timeWho needs a financial advisor and how to choose oneThe importance of understanding how financial advisors get paid and the fiduciary dutyThe problem with mixing life insurance and investingHow Emma’s background in psychology helps her as a financial plannerEmma’s thoughts on the FIRE movementSo much more! Support this project: Buy Me a CoffeeGet the newsletter: SUBSCRIBE ME!Show Notes and Links at Clippingchains.com