A Plan For Student Loan Debt Burden

What is your American Dream? For most people, the American Dream involves a quality education, a family, a home, good health, and financial security. Many people all over the world know about the “American Dream,” but what they may not know is how it is being affected by…. With an increasing number of young people going to college and the increased cost of college, many students must take out loans to pay for their education. According to Norris, student loans have historically been a way to pursue a college education for a person who might not otherwise be able to afford it. However, student loans and the accompanying debt are quickly leading to problems financially for those that borrow that will continue for many decades (B1). Dave Ramsey,

Matt Taibbi argues in his Rolling Stone article titled “Ripping Off America: The College-Loan Scandal” that the government is the primary source to blame for today’s appalling inflation rates on increasing student debt. Additionally, he argues that the reason the tuition is so exploitative and unfair, is because it was created to benefit two groups. The first being, “…colleges and universities, and the contractors who build their extravagant athletic complexes, hotel-like dormitories and God knows what other campus embellishments” (Taibbi). Next up, the other group that gains from the current system is the government. This is because, “…the government actually stands to make an enormous profit on the president 's new federal student-loan system, an estimated $184 billion over 10 years” (Taibbi). Further, Taibbi goes onto to state that students often have no idea what they are signing up for with student loans, because not all students have access to the same information. Finally, Taibbi mentioned that “because of the poor job market, young people may have less of a chance than ever to actually get a good job commensurate with their education” (Taibbi). This means that with no degree, students have no chance, but with a degree you are forced down a road of high risk, and at the end you are likely to be left with a ton of debt.

Student debt is a topic that generates a lot of debates. From politicians to lenders to students, everyone has an opinion on the topic. With a trillion dollar national debt, it’s not surprising why the topic is such a huge issue and the solutions are even greater. The student debt is a form of debt that is owed when a student has completed college or drop out. The average interest rates for the ungraduated and graduated are 4.45% to 6% (Quadlin). To pay off all the students’ debt, it will take 10-25 years to complete it. College students will have at least six months before they have to make the first payment. Student debts can be a real problem for those who aren’t preparing for them. Student loans debt should have a longer grace period, lower monthly payments and repayment programs that apply to all because students will be able to manage and repay their debts in a timely manner.

5. Base on class statistics 83 percent out of 16 percent thinks the government should forgive student loan debt once a student has completed college and has obtain a job in the field of study.

An education is one of the most important tools a person can acquire. It gives them the skills and abilities to obtain a job, earn a wage, and then use that wage to better their lives and the lives of their loved ones. However, due to the seemingly exponential increase in the costs of obtaining a college degree, students are either being driven away entirely from earning a degree or taking out student loans which cripple their financial prospects well after graduation. Without question, the increasing national student loan debt is one of the most pressing economic issues the United States is dealing with, as students who are debt ridden are not able to consume and invest in the economy. Therefore, many politicians and students are calling

As a mother of four, a large number of the social problems described in the text can and does directly relate to myself, as well as, my family especially regarding the matter of education. However, the problem directly affecting my family and I is the emerging social problem of rising student loan debt. Student loan debt is a problem that has begun to seep into the very mainstream of society as more and more individuals attend college, especially those with great financial needs. Personally, I am lucky to say that I do not need to borrow money to attend IRSC which has been a major blessing that has allowed me to better my education. Unfortunately, the same cannot be said about my husband, who graduated from Florida State University with student loan debts around $30,000 dollars. $30,000 dollars is a relatively average amount, according the Institute for College Access and Success(TICAS) 70% of college students graduate with student loan debt, with an average of $28,950. While this amount is overall average in our society, combined with the costs of raising four children, as well as, having only one working family member who makes a relatively low salary as a school teacher, it puts significant financial strain on my family. Rising student loan debt just doesn’t affect my family and I, it affects millions of Americans, especially those who are poor and cannot afford college. Rising student loan debt is a societal problem that is hampering millions of young Americans

“By 2020, 65 percent of the jobs in the United States will require at least one post-secondary education Community colleges serve close to half of all American students, enrolling 10 million students each year, but just under 20 percent earn an associate’s degree within three years.”(Georgetown recovery: job growth and education requirements through 2020) In contrast to the 20th century, a high school diploma was sufficed enough to fulfill

Attention Step: Haley Edwards, author of the article titled “But Can America Afford This Approach to Solving Student Debt?”, from the Time magazine, published November 30, 2015, tells a story of a woman named Allison Minks, who owes an amount of $99,326 in federal student loans. Mink is a 35-year-old mother of two and her full-time job as a counselor at a nonprofit clinic does not begin to cover her student loan debt. Tired of being in debt, Mink went searching for a solution and she found a program that says if she works in public service, she can get loan forgiveness after just 10 years. In other words, because of this program, Minks now pays an affordable amount each month and she’ll be scot-free before she is 45. But, Mink is only covered

The problem with today’s current level of student loans is that it causes so many people that took out loans to go into debt later on in their life. Now when the former students go into debt, it creates a domino effect. The students going into debt means that the government will be able to get their money paid back to them which causes the country to be buried in an even deeper hole of debt. The nation is currently over 20 trillion dollars in debt and student loan debt is more than 1.5 trillion dollars as well according to the United States Debt Clock as of November 2017. The issue of student loan debt needs to be addressed sooner rather than later to help the country gradually come out of debt. A start to help reduce the amount of debt in

Individuals dealing with student debt "are postponing marriage, childbearing and home purchases, and pretty evidently limiting the percentage of young people who start a business or try to do something entrepreneurial," said Mitch Daniels, president of Purdue University and the former Republican governor of Indiana (qtd. in Holland). Because it’s almost universally accepted that college is the key to success, students are finding themselves falling head-over-heels in large amounts of student debt justified only by these universal standards. Student debt doesn’t just burden the individuals who are liable, the sheer amount of debt has begun to rattle institutions and financial patterns that are at the core of American society (Holland).

In recent decades, student loan debt has increased dramatically causing a so-called, “education bubble”. This ‘education bubble’ is essentially the ‘housing bubble’ within higher education. The Federal Government, like those in the housing market crash in 2008, are lending money to those who receive a low income and can not afford college. According to The Weekly Standard, “the Federal Reserve Bank of New York reports that during the past decade, student loan debt has nearly tripled and the number of students with debt has risen by 70 percent” (Cochrane). The Federal Government needs to decrease the amount of loans they are giving out in order to prevent another crash within our economy. As a senior in high school who will not be receiving

The hot topic amongst people entering college is student loan debt. With the average debt at tens of thousands of dollars, many people shy away from college, or at least do not get a full degree. As a result, many politicians have preached plans to make college free, and thus bring an end to student loan debt. However, those on the other end of the spectrum find themselves hindered in jumping aboard the free college mania, because, after all, nothing is free, everything comes at a price. And as they soon learned, what a price indeed. In fact, in order for the universities to pay staff and accommodate the student body without tuition being on the shoulders of the students, state taxes would have to be increased on the entire taxpaying population.

In 1976, the average cost to attend a four year public university was $2,175; today, the average cost to attend a four year public university is $25,000 (Snyder). This means it is 1150% more expensive to go to college in The United States today than it was 30 years ago. This obviously would create a problem on how we as people are going to pay for our higher education. Today college has become almost a necessity to have a satisfactory life, and with these rising prices some individuals believe student loans are the only option. There are many reasons as to why the prices have risen, but the one undeniable fact is that this has created a problem within our country. Which, is known as the student debt crisis, and it has been on the rise the past couple years. This problem is affecting people all around the United States, and is causing multitude of problems for them all because they wanted to pursue higher education. Wanting to better your opportunities by bettering yourself is not something that needs to be punished, and sadly that is what is happening. This problem is something that needs to be fixed for the sake of Americans and our economy, but will also take time and a multitude of steps to correct.

A decade ago, student loans barely existed. Today, however, American students borrow up to couple million dollars a year to attend college. An entire generation is burdened with debt, and affected by the modern phenomena known as the “student debt crisis.” In recent years, student loan borrowing rates have risen notably, leading to concern about the public financial risks associated with the financial challenges faced by many students. Of late, the United States government has given out about $170 billion in financial aid annually in an effort to encourage students to attend postsecondary education. Such funding are usually supported by research that consistently finds positive and growing average economic benefits of

When individuals are in college, they are often blissfully of just how much student loan debt that they are racking up. When individuals graduate from college, they often have a high degree of sticker shock when they realize just how much student loan debt they have accrued. People are also of the mindset that there is nothing they can do with their student loan debt but pay for it. However, they are plenty of programs that individuals can use to pay off their student loan debt or even have it completely cancelled. The first step is simply to ask. Sometimes even asking the student loan servicer will help individuals to get their student loans debts cancelled or forgiven. Here are tips for working with your student loans: