CHARLOTTE, N.C. — New data shows a growing gap between what people are earning and how much they owe for education and the difference is especially burdensome for Black students.
Investopedia, a financial media website, took a closer look at research comparing student loan debt by race and cited a survey of consumer finances, which is conducted every three years.
As for where some of these disparities come from, for Black and other borrowers of color, researchers say it comes down to a lack of generational wealth, credit and lending issues, as well as being paid less on the job. Before getting to the numbers, Investopedia found that the wag gap shows non-white workers are paid less than their white counterparts, even for the same work.
On top of this, Black, Hispanic and Native American borrowers generally had higher unmet financial needs and incurred more student loan debt to pay for their education. These are also the groups that struggle to stay in school.
As for the numbers, Black borrowers took out the largest amount of federal student loan money in 2022, averaging almost $53,000 per borrower. On the opposite end of that were Hispanic borrowers, who took out an average of $26,000 in student loan debt.
Contact Kia Murray at kmurray@wcnc.com and follow her on Facebook, X and Instagram.
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