The Reasons Why Student Debt Is Worse for Women

Repaying student debts is a concern for many American graduates. While it can be one of the greatest investments for young people, a large number of college students are forced to take up a loan to cover their studies.

However, this condition seems worse for women. Many female graduates have been taking up larger loans than their male counterparts and are struggling to repay it. Let’s have a look at the reasons why student debt is worse for women.

1. The Average Debt of Women Is Over $21,000

The vast majority of outstanding loans in America are held by women. Women today make up 56% of the total number of college students in America, an increase of 150% since 1976.

The average debt of female graduates is over $21,000 which is $2,700 more than comparable men.

While it is incredibly important that women pursue higher education, the necessity for taking up a large loan can quickly become a burden even for the most committed student. Moreover, even if the amount of women entering college is increasing, the number of graduates that are able to pay off their debt is steadily decreasing.

There are other means to repay your student loan in America, such as refinancing with a low-interest rate. Those wanting to refinance student loans may want to take a look at the various financial services available from SoFi designed to help out those leaving education and going into the world of work. However, 37% of female graduates have reported not being clear on how to repay or finance themselves to refund their loans.

Therefore, 17% more women than men suffer from some level of anxiety and pressure deriving from not being able to manage their debt.

2. Only 28% Of Women Repay Their Student Debt

After 12 years of finishing college, 44%of men are able to repay their student’s debt. For women, this statistic decreases to only 28%, showing an underlying difficulty in managing and coping with this burden.

Moreover, as reported by a number of statistics and studies conducted recently, the challenge of repaying college debt is even tougher for black or Hispanic women. Minorities have in fact being affected by an inability to repay their debts for different reasons. Reports expressed that women coming from minorities earn less than white women and men.

This has created discrepancies in the statistics of female students. Only 13% of women coming from minorities have been able to repay their student loans after 12 years of finishing college. Moreover, while the average debt of American women is $21,000, black women owe more than $30,000.

3. Women Earn 27% Less Than Men

While the increasing number of women that are entering college is definitely encouraging, there are still great differences in the way businesses are welcoming women and men after graduating. Studies have reported than women with higher degrees get paid as much as men with a lower qualification.

Generally, female graduates have been paid 27% less on average compared to similarly qualified males. The gender pay gap in America is still an obstacle that women have to face when trying to repay their student debt. The Bureau of Labor Statistics has reported that women aged 35 or older get paid $706 per week, which is only 80% than their male counterparts.

Due to the difference in earnings, female graduates manage to repay only 10% of their student debt annually, which is 3% less than men in the same industry. Moreover, many women drop out of their careers only a few years after starting it to take care of their families or children. Some women have admitted switching towards a part-time job to be able to pay their bills while having to stay at home.

These discrepancies have been one of the main reasons that make women responsible for two-thirds of the $929 billion outstanding debt. If more people were aware of an extraordinary statistic like this one, they may feel more inclined to check out this article about debt from somewhere like Money Talks News to see how they can gain control over any student debt, or other debts, that they have.

4. Women’s Parents Save Fewer Funds for College Than Men’s

Parents of boys have been reported to be more willing to save up during their lifetime towards their sons’ college funds. Only 39% of girl’s parents created a fund to help their daughters to fund their college fees, which is 11% less than all-boys’ parents.

While this is essential information to understand the student debt problem, the situation is only made worse by the girl’s parents not being as willing to help out their daughters during college. In fact, while 83% of boys receive monthly help from their parents, only 70% of girls do.

Boy’s parents are also more open to covering their son’s fees and send them to more expensive schools. Due to these facts, girls are only able to afford cheaper schools and even in this case they are forced to take up a loan. Due to the lower-paying job positions and the inaccessibility of extra funds and help, female graduates tend to struggle more to repay their debts.

5. Women Prefer For-Profit Colleges

For-profit colleges are generally much more expensive than other choices in America, but women as twice as likely to attend their college classes here. This is mainly due to these schools offering viable options for single-mums or women that look after their families.

For-profit schools offer evening classes and convenient structures to adapt to their students’ needs. However, they have higher fees and offer lower-quality degrees. These degrees are also not highly regarded by future employers, which lowers the chances of young female graduates obtaining a high paying job.

This creates a difficult condition for for-profit college graduates after they finish attending classes. In this case, they will have taken up a higher than usual loan and they would have an increased difficulty in finding an advantageous job. It might therefore be important to start saving early as well as look for funding options that could help avoid debt. In a similar vein, reading articles and blogs about college finance (similar to this one at can also be helpful in this regard.


While the student debt burden affects a high number of female graduates, local governments are working towards finding a solution to this situation. However, a number of companies can help you to refinance your loan and give you a better understanding of how to start repaying the debt properly. Loans in Montreal can be obtained even with bad credit and can help you reduce the pressure of repaying your loan.

Are you a student struggling to repay a debt? If so, make sure to talk to someone before it becomes overwhelming. Debt can easily get on top of people, making life extremely difficult for them. Without managing debt, people might find themselves declaring bankruptcy. This can be a difficult time, but it’s always important to contact PA bankruptcy attorneys, for example, as soon as possible for guidance. They should be able to help people get themselves out of this situation. Did you find this article helpful? Let us know by leaving a comment below!

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