The Debt Trap: How America's Student Loan System Is Devouring Lives Ashley Dreahn, a 40 year old teacher, filed for bankruptcy in 2022 hoping to escape the $94,298 in student loan debt that still haunts her.
Despite this attempt at relief, she remains trapped by the debt. The number of borrowers with defaulted student loans has surged since April 2025, according to an Associated Press analysis.
This surge includes many who struggled when loan payments resumed in 2024 after a pandemic era freeze.