Student Loan Debt and Forgiveness

2560 WordsNov 14, 201211 Pages
Portfolio Paper: Student Loan Debt and Forgiveness Justin Puckett 5/17/2012 Public Administration: PMG300 Colorado State University Global Campus When it comes to achieving success in the work force and finding a fulfilling and lucrative career there are few things more important that higher education. Going to college and getting a degree is essential in finding success in the work force. The problem is when the cost of gaining that degree outweighs the financial compensation the career that follows is able to supply. Very few people are able to pay for college out of pocket. The result of this is that students seeking higher education are forced to take out massive student loans. This means that they are entering the work force…show more content…
I am still several years away from graduating because I am only able to attend school part time due to the fact that I work full time and have a wife and two children to care for. A rate increase like the one being discussed would make paying back my education loans next to impossible. This is a concern I share with thousands of people. There are things being done at this time in order to help prevent default on these loans and promote continued education. Recently more than 100 people demonstrated against the lending practices of student loan company Sallie Mae outside its headquarters in Newark. The protesters criticized the heavy debt burden that students accumulate during college and what they say are unfair profits made by Sallie Mae. (Associated Press) Possibly in response to such criticism, Sallie Mae announced that it will offer fixed-rate loans for the first time ever to help students and their families pay for college. Private lenders are also attempting to step in with the impending rate hike on federal student loans. As stated before, the largest student lender, Sallie Mae, introduced fixed-rate loans. On May 21 2012, Discover Student Loans which is the third-largest education lender started a fixed-rate loan program as well. Wells Fargo which is the second-biggest lender launched fixed-rate loans last summer. (Weise) For prospective students who have good credit these private loans
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