The Perfect Storm of Higher Education
When the banks left New York's Lower East Side in the 1980's, the neighborhood reacted with a breakthrough idea: Let's skip the middleman and take care of each other. They pooled their money and the Lower East Side People's Federal Credit Union was born.
This is the story of credit unions all the way back to industry's beginning: regular people taking a "do it yourself" approach to solve seemingly insurmountable environmental pressures and creating something new.
The U.S. Department of Education reported that the overall student loan default rate in 2008 was 7%, up from 6.7% in 2007 and 5.2% in 2006.
College tuition has inflated at around 8% per year since the 1970s, says FinAid.org. That means my best friend's new baby (her name is Finley, she's beautiful), will pay more than three times what today's college freshman spend.