Only 15% of Americans have student debt though, and 2/3 of those own less than $20k (a Honda Accord's worth). The ones with $200k are 2%; doctors/lawyers who can and are paying it back.

Now there is an issue where 2~3 bedroom homes in small town America now start at $300k. I don't think that's changing, and I think that's going to be more of the breaking point: when normally people who work vocational, construction and other skilled-but-not-university jobs can't afford the homes their grandparents could doing the same amount of work.

That could be a breaking point, if it wasn't for the crazy inflation and money printing. Things could break down ... or, $300k becomes the new $150k for a house and the baseline just rises like it did in the 70s. Gas never goes back down <$1. Everyone's money has already been devalued.

The heads of states/WEF/Davos people who put this all in place want the world economy to collapse so they can replace money. I have my doubts their dreams will come through. There might be enough push back that things could stabilize, and hopefully people have learned to turn on the next set of measures (climate lockdown bullshit) .. but I don't have that faith in humanity.

TL;DR It might happen as you say, but I don't think it will be student loans that do it.