Aidan Autovino
Mr.Allen
English pd.3
20 April, 2023
Student Debt
Imagine graduating college look at the amount you owe on loans for your education is over $20,000.The average federal student loan debt balance is $37,338. That's a lot of money for just one person to pay off! The federal student loan portfolio currently totals more than $1.6 trillion, from loans owed by about 48 million borrowers. Student debt is caused by the astronomical price of higher education that leads to crippling debt for college graduates and even dropouts; however, There are Government plans and scholarship payment programs created to help this issue be forgiven or partially assisted.
Student debt are funds that are owed on a loan taken out for their education. student
…show more content…
Such as potential forgiveness from high power spots which would be seen to help a lot. Some political candidates and elected officials have advocated changes that would eliminate all student loan debt, while others would eliminate at least some of it. Advocates for student debt forgiveness think it will help the economy ("Student Debt Forgiveness"). Debt will potentially be forgiven to those that are in need of the help. Debt is being discussed to only be helped with for the ones who need it so that loans do not become too affordable, they might be ensured to be a payable and reasonable price for the payer. And this will help tremendously (Mitchell). Students may start to get assisted with debt by better education. Officials plan to help pay off student debt for those who need it so the government will save money. Debt is being discussed to only be helped with for the ones who need it so that loans do not become too affordable, they might be ensured to be a payable and reasonable price for the payer (Mitchell). Another great solution is ensuring that the degree they graduate with is able to help them pay off debt with the job they get and this could help tremendously. Students might be assisted in paying off debt by graduating with a degree that will help them pay off their debt so that they are not in a bad place financially or be in a bad place with their credit score
04 Dec. 2016. In USA Today’s article by Sandra Block and Christine Dugas titled “Five Proposals to Solve $1 Trillion College Loan Crisis,” the authors mention five ways to solve the student debt crisis in America, illustrating things like Bankruptcy reform, loan forgiveness, increasing federal pell grants, and the education of borrowers. Evaluating this article, it provides an informative view on the solution of student debt, and overall expresses many different spectrums on ways we can solve this social problem. The five ways to solve this problems
Colleen Rookerson College Financial Debt Linda Shepard 22nd, April 2023 College Financial Debt Student debt is on the rise, what are we going to do about it? Students face an increasing amount of debt and struggle to pay it back due to low finances and high interest rates. Some students struggle financially to pay back student loans and eventually need to drop out of school due to the high costs. What options do they have?
According to the last recording of student loan debt, the total amount of the United States student loan debt is roughly one and a half trillion dollars (A look at…). Statistics like these present the urgent need to resolve the major financial issue of student loan debt. Solutions have been given by many people to solve this issue but most solutions fail. The main reason behind student loan debt is falling to far into debt to the point where it is almost impossible to come back. The origin behind all of this is a lack of a student loan amount cap.
Throughout many years there´ve been many laws or events that have contributed to the student debt crisis, whether it be good or bad. Laws like the National Defense Education Act and The Higher Education Act of 1965 originally created student debt and the many accessible options to end up with student debt. Events like The Great Recession and The Coronavirus pandemic have aided many in-debt students to lose their jobs, not being able to pay their monthly debt or basic human necessities. Those events alone were devastating because people weren't able to have shelter or pay for food while they were also stacking up their debt trying to survive in the world.
However, student loans are not offered to every student and if a student was to receive a loan they still have to pay it back fully or with interest. for instance, “1-3 trillion dollars of student loans, and 6 million vacant jobs that no one is trained to do” (rowe, E). Not only is there over a trillion dollars worth of debt that needs to be paid off, there are also millions of jobs that are not filled because of a large skill gap. it was also stated that, “students today are taking on More debt, and recently Tiding bankruptcy laws make it more difficult to shake that debt” (Wicker, F). All summer saying colleges or cheaper, they are wrong because the initial cost may be cheaper but the amount of debt that is left over is very large and paying off his debt because for a teenager who is learning and looking for a job while making no
There is an action taken to help with the student loan debt that keeps affecting graduated students and the economy. According to Bassaline (2022), “Recently, President Biden started considering an executive order to do a loan forgiveness of student debt under 10,000 dollars” (para. 7). The loan forgiveness would help decrease people’s debt that they owe. Bassaline (2022) also says, “Overall, it will cost the government $321 billion dollars. If we were to have a 10,000 debt forgiveness of student debt, it would mean more spending for consumers, and there would be a boost of entrepreneurship” (para. 7).
There are many people out there that completely disagree with the Act or even the idea of fixing the crisis itself. people are saying that forgiving students from their debt would make them irresponsible with the extra money they’ll be making The fact of the matter is that if the Act were to pass, it would: eliminate many of the awful consequences of educational indebtedness. In doing so, it would give Americans greater purchasing power, helping to jumpstart the economy and create jobs. Of course, it does have some restrictions, but it will help the student loan debt crisis and the national debt crisis. The solution is that students will continue to pay their debt flexibly comfortably by paying ten percent of their income, and after twenty years of paying, the debts can be forgiven.
The total U.S. student loan debt now surpasses $1.2 trillion and there is more than 40 million recipients owing on federal and private student loans (Malone). Most of the college students in the United States can’t afford their education by themselves and, as a result, students end up drowning in student loans in order to earn a degree. Student debt is a major problem in the US, and it is a major influence on the gap between rich and poor. A more accessible college education would help reduce the gap between rich and poor in the United States.
These issues have been a problem since the 1950s with no true solution having been put into work yet. However, hope survives as experts are still working on fixes today, including President Biden, U.S. Senators, and economy experts. Student debt has not always been a problem within the United States. In fact, as CNN explains in their article “How Student Loan Debt Became a Trillion-dollar Problem for Americans”, Student loans did not even exist until 1958 when the National Student Loan program was introduced during the Cold War. These loans were created under the National
Students often leave school or graduate school with loads of debt. High schoolers going into school notice the debt that they will leave school with but they can not do anything about it because the colleges make money off of the student loans. Colleges often charge a lot to go to their school and, “The average graduate student owes up to $90,170 in cumulative federal student loan debt. 54.2% of all graduate school completers have federal student loan debt from graduate schools; 60.5% have debt from their undergraduate studies” (Hanson). Students leave school with tons of debt and students rarely leave without student debt.
The tuition and cost of college is detrimental to thousands of families across the country and brings student debt to future graduates. Some students have seen their debt climb over $30,000. Friedman writes, “The average student in the Class of 2016 has $37,172 in student loan debt…” (Friedman). With the debts being over the average income for single people households, college has transformed from a benefit to a burden. Young adults not only have to worry about their education but also paying for the next semester or years of college ahead of them.
Forgiveness of Student Loan Debt On a global scale, there is a large amount of people who are unfortunate in the sense that they are all regrettably faced with the issue of the struggle to pay for a proper education. Seeing as those who struggle are unable to pay on the spot, whether it be because they are financially independent adolescents or their families have low financial income, a majority of said strugglers resort to applying for student loans. This allows them to receive an education for the time being, but it still must be paid for eventually. As a result, every student who takes a loan for schooling will be in debt until everything that has been borrowed is paid off.
Every student's circumstance is different; therefore, they should all have different solutions. Some students do not enjoy of a good economy, which provokes them to borrow more money than other students. Also, there are some students that will study careers that do not have a great income, or are very rare in jobs. Their solution would be to maintain the cost of student loans at a reachable price. In this case, every student would be able to pay off their loans without any
Student loans can be helpful, but when it's time to pay back, it can lead to future mental struggles and be stressful and hold you back from living the life you want to live in the long run. The student loan debt crisis in now only taking a huge toll on the personal lives of many Americans, but on the economy as well. Whether or not students graduate or not, if they pulled out student loans worth $200,000 they remain in debt for a remainder of years. As the problem continues to grow it becomes more and more critical to find a solution to help the well being of everyone in the nation, student or
Society often believes college is a necessary experience for a better future, but I argue that the future will not be any better when student debt becomes a part of life for those who follow that mainstream belief. Most parents often dream of the great colleges and universities that their children will get accepted into; however, they fail to think of the cost to attend those institutions. Financial aids! Financial aids! Yes there are financial aids that students can apply to lessen the student debt.