The rising cost of tuition has lead to more and more financial problems with students causing them to take out more loans and go deeper in debt. Highscool graduates are skipping college because of the extraneous stress of financial problems that it causes. College is a necessity now a days to get a job, but college is also one of the biggest causes of debt. A college graduate has tons of money in debt but when he graduates he gets a mediocre job that cant keep up with the interest rates on the loans. The problem of student debt will only be solved by loan forgiveness, more financial aid, and students being more educated on loans. Since college is a necessity in todays society, companies and the government should offer loan forgiveness, or add it to their …show more content…
That causing the students to fault on their loans. Haley Edwards states in “ But can America afford this approach to solving student debt?” Work in public service they can get loan forgiveness in just 10 years.” Public service jobs are jobs that are related to the government, these jobs allow student loan forgiveness after 10 years which is crazy because a college graduates average age is 22 and that puts them debt free by 32. Others it takes well into their middle age years to pay their debts back. Loan forgiveness lifts massive amounts of stress their shoulders. Students don’t know how to handle debt. Most students out of highschool don’t lnow what loans are and the backlash it could have on their futures. They have no clue on how to calculate interest, how long itll take for them to pay the debt back either. “ 71% of undergraduates who graduate with debt or the 1 in 7 who end up defaulting on their loans.” (But can America afford this approach to solving debt, Edwards) This statistic shows that students who are just now entering college that they don’t know anything about loans. Or they don’t get jobs that can pay their loans back. “ The
A problem with student loan debt is that students gain more debt because they are not able to pay off the student loans within the given time which also causes them to put certain life decisions on hold. According to Sophie Quinton debt is a problem for the recent college graduates because “There’s currently no way to get rid of federal student debt other than paying off the loans. while some borrowers are paying off their debts just fine, overall they are adding debt faster than they are shedding it”(Quinton). According to Jamaal Abdul-Alim stated that a “survey - titled Student Loan Debt: Who’s Paying the Price?- revealed a number of troubling statistics about the practical ways that student loans are impacting college graduates in their everyday lives. For instance the survey found that: 49
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
Most students do not make enough money to be able to pay for college debt free. In addition, most families don’t make enough money to pay for the college costs upfront. For this reason, students have been borrowing money from private loans to be able to attend a college/university. Although the government might give several students, who apply, money to pay for books and housing, it does not cover the total cost to attend college and obtain a degree. This might not be encouraging for students who wish to receive an education but do not want to owe money in the future. Loans have been scaring off students who wish to further their education and live their lives comfortably after college. If student loans were to be forgiven, graduates would not have to worry about owing a large amount of money.
College debt can stunt most students from pursuing their college dream and going to their school of choice. Students get scared of the word debt and the numbers that they would be dealing with outside of college. Students are putting aside going to their dream schools because of the fear of how much debt they will get into after college. There are many reasons why people don’t pursue college, or just from not being able to afford it. Students go back and look at not going to their dream college or college at all and regret not taking the challenge and going with what they always wanted to do. Some students experience not being in debt after college and why they think college tuition is right where it needs to be, but others will make shocking choices to not be in debt. College students are choosing not to pursue their dream college or college at all because of finances they would be dealing with after college, debt.
Student loan forgiveness is a terrible idea. Sure, in an idealistic world it would be great if the country could forgive all student loan debt and thus bring relief to all students across the nation. Realistic? Not necessarily! Instead of the fairytale notion of student loan forgiveness being the answer to all the problems, America would fair better in taking the initiative in making reforms to the educational loan system that are a bit more realistic. Student loans are a massive predicament in the U.S. that can no longer be ignored. The Atlantic 311.2 article “The myth of the student-loan crisis(CHARTIST)(Statistical data)” by Allan, Nicole, and Derek Thompson states that to date student loan debt surpasses all other forms of debt with over a one trillion dollars sum (2013). The United States should stop being complacent on an issue that has affected and ruined so many lives and begin finding ways to relieve the proverbial and ever-present menacing “Student Loan” pitfall.
When we think about college and a college education, it seems as though our first initial thought is the student loans and debt that can result in achieving a college degree. Looking back, student debt has risen drastically and has made it extremely stressful for students and families. Many people go through their entire life in debt, especially from being a student. Student debt has always existed; however, now, it is so extreme, almost all students who attend college find themselves deep in debt, and must continue paying off their debt many years after they graduate. For the past two decades, student debt has risen, illustrating how big this social problem has become. The reason student debt is a significant social problem is because of how much it can effect a person’s life, and their families lives, that can carry over to their future. Although there were many things that led up to and impacted the drastic student debt that is now being faced by many students around the world, the corporation Sallie Mae, was the essential factor in why student debt has skyrocketed to unreasonable proportions. Sallie Mae provided the first type of corporation that changed its focus from helping students, to helping themselves. The history and scope of the student debt can help us understand that the corporation, Sallie Mae, was the main cause of this problem.
Because of the nation’s national rising debt, student loan forgiveness has been a significant topic of debate because of how much it can affect our nation’s debt and doesn’t always help the student. Student loan debt is one of the highest debt causes, but sometimes we forget that we are the ones that sign the line on the contract to be in years of debt. This is because we value our education. But this does not mean that just because we can’t find an amazing, high paying job right out of college that we should have our loans forgiven. We want the easy way out of something that isn’t easy, so why should the government pay for our debt? Yes, college is very expensive and that is the governments fault, but again we are the ones that signed the line on the loan papers. (Sam Adolphsen, 583)
Student debt forgiveness is not the answer, for it is the cost that is the issue that needs to be addressed. As Robert Applebaum states in his short essay mentioned in the article “Student Loans: Should Some Indebtedness Be Forgiven?” tuition rates are increasing at ridiculous rates because colleges somehow feel that because the government makes it easy to get a loan it justifies their rising tuition costs (466). Instead of arguing for student loan forgiveness, perhaps protesters should refocus their attention at the paramount reason for needing student loans in the first place.
College debt is becoming more of a drastic problem in the United States with the rising costs of college tuition. In “Why the Student Loan Crisis Is Even Worse Than People Think” Mark Kantrowitz expresses how the issue of student debt in America is to be blamed by the government’s lack of action. In “Is College Doomed?” Graeme Wood expresses the benefits of the new and innovative univeristy Minerva. A perk about this university is that it includes the cheaper tuition than other ivy league schools because of its lack of all the componenets of an average university. The government needs to be more involved in preventing future college students from graduating with overwhelming debt.
In the U.S. students are encouraged to earn a college degree, but the cost of an education turns many away. “Driven by the allure of a decent salary with a college degree, Americans borrowed to go to school. Outstanding student debt doubled from 2005 to 2010, and by 2012 total student debt in the U.S. economy surpassed $1 trillion” (Mian, Sufi 167). There are plenty of opportunities to obtain funds for college, including one of the most common, student loans. A student loan is defined as “a common way to fund education, specifically college and graduate school, and they provide educational opportunities that you otherwise may not be able to afford” (Barr). Student debt is at an all-time high in America. Over half of all lower income
In the year 2007, 18.2 million students enrolled into college. About thirty-nine percent of those students were between the ages of eighteen to twenty-four (Marcus). College is seen as something one must do to be able to have a successful life or career. Student debt is almost guaranteed for anyone that goes into college. Seventy percent of bachelor's degree recipients graduate with student debt. Student loans in just the U.S. alone are up to 1.2 trillion dollars, this is the second highest level of consumer debt, just trailing behind mortgages (Snyder). Student debt has been an issue for anyone thinking about going into, that is attending, and graduating or leaving college. How to solve this issue is very simple, which is to save money, lower
From the beginning of an education in preschool, to the time of graduation 14 years later, everything learned, interpreted, analyzed, understood, or even misunderstood has its effect in the future. The question is always “what do you want to be when you grow up?” As you age, the career dreams develop into a more mature answer. No matter how anyone is raised, there is always someone pushing at least one other person to go to college. Then, that silly career question is turned around on them, “how exactly do you expect me to afford college?” Roughly, about $809.6 billion is spent on college in the United States each year. Along with all the money spent, deb comes trailing along. Everyone can agree college tuition is not cheap, not to mention
In the United States today, the number of students graduating college with student loan debt is quite astonishing. In the article titled, “How the $1.2 Trillion College Debt Crisis Is Crippling Students, Parents And The Economy”, we will examine and break down the student loan debt crisis by the numbers. Today, almost two-third’s of students graduating college are graduating with an average of $26,000 in debt. For most students, $26,000 is a lot of money when the average annual income for a first year graduate is only in the mid $40,000 a year range. According to the Consumer Financial Protection Bureau, student loan debt has reached a new milestone, crossing the $1.2 trillion mark (Denhart, 2013, Introduction, par. 2). With student loan debt levels
65.7% of college students have to get student loans to pay for college, and the average student loan debt is $19,237 for a graduating senior in the United States according to the National Post Secondary Student Aid Study. This is no surprise considering that the rate of tuition increases 7% per year, and in some of the more prestigious colleges, students will have to pay well into six figures just to get their education. Even in-state rates for South Dakota, which is comparatively very cheap to practically everything else, students are still paying $40,000 for their education when one factors in dorm living and a meal plan. Most students will need to borrow some money on a student loan to get through school, but how does one know if they're
The Department of Education in recent times has embraced a new system regarding student loans, bringing on board a customer-friendly policy. According to this new scheme, students will now have access to loans with easier and less complex repayment terms. This development will help them fast-track the repayment of their debts without hassles. The Department of Education also integrated an income-based repayment plan: a flexible approach geared at facilitating student finance in their most dire hour of need. Sadly, despite having the potentials to substantially pull off the amount of burden on people’s shoulders, this income-driven repayment scheme hasn’t gained much traction and acceptability among the general population. This is due to