Total Student Loan Debt: $1.56 trillion

Total U.S. Borrowers With Student Loan Debt: 44.7 million

Average Student Loan Debt: $32,731

Average Student Loan Payment: $393

(Source: As of 3Q 2019, Federal Reserve & New York Federal Reserve)


How to solve this:

Step 1:   Issue $1.5 trillion in 30 year treasury bonds at 1.75% (as 3/19)

Step 2:   Refinance all debt at 2.5% over 29 years & delay current payments

until 4/1/2021



  • US government earns 0.75% spread = $11.250 B
  • Students: no payments for one year (until 4/1/2021)
  • Students: Avg Monthly Payment would decline: from $393 to $135
  • Economic Benefits: Annual Payments decline from approximately
    • $210 billion to $70 billion (this decline of $140 billion annually would continue to stimulate the economy for the next 30 years)



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