Some Americans Have Fled The Country To Escape Student Loan Debt

'Some student loan borrowers are packing their bags and fleeing from the U.S. to other countries, where the cost of living is often lower and debt collectors wield less power over them,' reports CNBC:

Chad Haag considered living in a cave to escape his student debt. He had a friend doing it. But after some plotting, he settled on what he considered a less risky plan. This year, he relocated to a jungle in India. 'I've put America behind me,' Haag, 29, said. Today he lives in a concrete house in the village of Uchakkada for $50 a month. His backyard is filled with coconut trees and chickens. 'I saw four elephants just yesterday,' he said, adding that he hopes never to set foot in a Walmart again. More than 9,000 miles away from Colorado, Haag said, his student loans don't feel real anymore. 'It's kind of like, if a tree falls in the woods and no one hears it, does it really exist?' he said...

Although there is no national data on how many people have left the United States because of student debt, borrowers tell their stories of doing so in Facebook groups and Reddit channels and how-to advice is offered on personal finance websites. 'It may be an issue we see an uptick in if the trends keep up,' said Barmak Nassirian, director of federal relations at the American Association of State Colleges and Universities.... Struggling borrowers should enter into one of the government's income-based repayment plans instead, in which their monthly bill will be capped at a portion of their income, he said. Some payments wind up being as little as $0 a month.

But the fact that people are taking this drastic measure should bring scrutiny to the larger student loan system, said Alan Collinge, founder of Student Loan Justice. 'Any rational person who learns that people are fleeing the country as a result of their student loan debt will conclude that something has gone horribly awry with this lending system,' Collinge said.

Haag tells CNBC that because of his student loan debt, 'I have a higher standard of living in a Third World country than I would in America.' The average student now has around $30,000 in debt when they graduate, according to the article (which is nearly double the inflation-adjusted average of $16,000 in the early 1990s) -- while inflation-adjusted salaries 'have remained almost flat over the last few decades.'

One 39-year-old even tells CNBC, 'I feel that college ruined my life.' (He's been living overseas since 2011 -- first in China, then Ukraine -- and hasn't checked his student loan account in nearly eight years.) Another graduate teaching English in Japan told CNBC that they wanted to return to the U.S. -- but their student debt is now over $100,000.

'The Education Department did not respond to a request for comment.

Read more of this story at Slashdot.