We’re talking student debt here, which adds up to $160 billion in loan payments each year. That’s cash that could otherwise be spent by college grads on TVs, appliances and other household goods.
“America’s largest retailers are facing a threat that is rarely discussed – student loan debt. Consumers make $80 billion in loan payments a year, Moody’s retail analyst Charlie O’Shea said on Bloomberg TV. This means they have less money to spend at retailers like Walmart, Home Depot, and Costco.”