Making College More Affordable

February 2020 Treasurer’s Note by Treasurer Michael Frerichs

I believe we have a new and innovative way to help more families attend college or trade school.

Illinois lawmakers agree and authorized the treasurer’s office to incentivize financial institutions such as banks and credit unions to make college loans more affordable and flexible.

This is not a handout. This is not free money. This is helping those who want to help themselves.

This issue is critically important. Today, there is more student loan debt in America than there is credit card debt.

In Illinois, student debt shackles more than 2 million people. The median amount of this debt is $18,000. Twelve percent of these borrowers have had their loans referred to a collection agency.

If we change this trend, we can help every corner of Illinois. Student loan debt is a silent drag on the economy that weighs upon us all. It delays home purchases, business start‑ups, and other economic investments.

Identifying a path to creating more affordable college loans is a logical first step. However, there are other ways to make higher education more attainable. We hope to explore these possibilities in the coming months and I welcome your feedback.

College is not for everyone. However, for those families who want to pursue a college degree, we should do everything possible to make sure it is affordable.

Subscribe and Read the Treasurer’s Office’s eNewsletter: http://bit.ly/IllinoisTreasurer

View past issues of the newsletter here.