A fair shot at financial freedom

Graduating from college represents a major achievement. Yet for far too many, once that goal is reached, students have yet another hurdle to clear: crippling student debt driven by compounding interest and the rising cost of attendance.

Nationally, student debt has doubled since 2020 to more than $1.6 trillion dollars in federal student loans now the second-largest debt in the U.S. following home mortgage debt.

Because of compounding interest and lack of financial counseling, many students graduate with two to three times more debt than their original loan amounts with Black and brown students being impacted most. In Georgia, graduates have an average of $40,000 in student loans—far exceeding the national average.

Seeing the ripple effect of this inequitable debt—such as having a low credit score that makes buying a new home or investing in a business difficult —the Foundation devised an innovative solution to help college graduates build wealth: the Student Loan Debt Relief Pilot Program.

This year, in partnership with our donors, the Foundation erased nearly $300,000 in student loan debt, giving many graduates the chance to invest in other areas of their lives.

Over time, the program aims to serve as a systemic solution to addressing student loan debt, thus leading to a more equitable region and shared prosperity for all.

In hopes of helping even more students, recipients were asked to participate in a long-term evaluation and storytelling project to highlight the opportunities that student debt elimination opens to them.

“The generosity of this gift will forever change the future for my family,” said an Atlanta recipient, who saw nearly $30,000 in student loan debt eliminated through the program. “With these funds, my family will finally be able to have the ability to purchase our first home and start our own family.”

The student loan debt pilot program resonated deeply with donors Brian and Vanessa Friedman, who invested in the effort through their donor-advised fund.

“Vanessa and I both paid our way to school and came out debt free,” Brian said. “That’s just not the reality today. There are students that do everything right by getting into college, working hard and graduating—and they are coming out with their hands tied with debt. That’s just not right.”

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This story was originally shared in our 2023 Annual Report. To read the full report, click here.