Student loan debt is a crippling crisis, and it has affected many college students, especially those who find themselves unable to repay their loans. For many college students, access to higher education is the gateway to a better life, and education is necessary to improve their socioeconomic status and obtain better-paying jobs. Asha Banerjee, policy analyst for the Center for Law and Social Policy, says, “Today, more than 45 million Americans are struggling with student loan debts” (Banerjee 1). The increasing cost of college/higher education is forcing students to borrow and finance their education at a costly rate. The student loan debt crisis is slowing the national economy, and consumer spending is linked to personal finances. Students …show more content…
Government cuts in education funding have driven tuition prices up and these government funding decisions have made college less affordable and less accessible for students. Jonathan Glater, a professor at Berkeley Law, claims, “Direct appropriations and state support of public colleges have failed to keep pace with rising institutional costs. This is due at least in part to difficult economic times that have forced state governments to make hard fiscal choices” (Glater 1573). Rising education costs have made college less affordable and has shifted education costs from the government to students. According to the National Center for Education Statistics, “the average tuition and fees for first-time full-time undergraduate students in academic year 2021–22 was $9,700 for public institutions, which is 6 percent higher than $9,100 in 2010– 11” (“COE”). While federal student aid is available it has not been enough to cover the rising tuition …show more content…
A major issue with this thought is the notion of obtaining a student loan to pay for a higher education and believing it guarantees success. Tilak Jandhyala, former Vice-Chancellor of The National University of Educational Planning & Administration, warns that, “The concept of student loans…has not proved to be a feasible solution to the problem of inadequate resources for higher education nor an antidote to the regressive effects of increases in fees” (Jandhyala, 19). There is no guarantee that a college education will allow anyone to make more money or obtain the career they want. Student loan debt forgiveness offers new graduates a fresh start and improves their chances of a better lifestyle. Not having student loans would mean relief for these individuals and give them the opportunity to buy a home, save for retirement, and invest in small
Not having free or low college tuition impacts many people, “between 2011-12 and 2016-17 tuition and fees have increased 9% at four year public schools, 11% at two year public schools, and 13% at
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.
Students with college debt often feel a sense of pressure and anxiety, fearing the judgment of other students and family members who may not understand what they are going through. Because of the impact on one’s mental health, students under this pressure may be led to making poor decisions and begin to lose hope for their lifelong goals and values. College students’ lives get torn apart by the burden of their debt and tend to feel ashamed of their low income families who could not afford their tuition. People from these low income families are more vulnerable as it is. It is probable for them to have a tougher time finding a steady source of income for themselves, causing them to feel even more overwhelmed and hopeless about paying off their loans.
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).
Introduction Americans have almost 17 trillion dollars in debt in total in April of 2023, in which around 10% of that debt is student loans. Student loans are a big issue because they contribute to the harm of many student's careers early on, delaying when Americans buy houses, cars and other financial decisions. Student debt is a big dent in the economy, but many say that this is a nessasary evil, required for the population to afford their education. Student debt could mean the difference between your dream school and job but also comes with the downside of debt before your first job. Student debt is problem for many students across the globe but is a big problem In the US.
We have seen that student debt can influence the path on which life lies quite heavily. Student loans can take a fair amount of debt and transform it into lifelong expenses comparable to mortgages. Essentially college debt is the outcome of an extended failed loan repayment. “And unless wages increase and college costs decrease, students will still need to take on debt to complete degrees, and they’ll face greater difficulty repaying loans.” (Helhoski, para. 2).
More than 40 million Americans have student loan debt which is about 1 in 5 U.S. adults. For as long as education has been pursued, college has been a thing. Along with college comes tuition and other college expenses which are not cheap. Since the early 90s, students and parents have been suffering from student loan debt. In fact, according to the United States Department of Education, the average student loan debt has more than doubled from 1990 to 2010 and is continuing to rise (ProCon.org).
The cost of tuition is an incredible problem in today’s education system throughout the United States because it hinders the people who want to go college but cannot afford to do so. The price of tuition is a burden to those who are actually attending
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.
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.
Loans allow receiving a college education seem like a smoother process considering that such a hefty amount to pay is divided so that it can be paid for in moderation. Despite the fact that it’s split into many payments, it’s still a large quantity all in all so unless indebted students aim for high income jobs, there would many years of difficulty to come after college. For this reason, undergraduates make it their goal to go after jobs which would prevent them from being constantly pressured to pay off debt. Thus, student debt is both a crisis and a reason to encourage persistence towards greater ambitions (Hillman, 41). It is a tremendous thing when a student seeks to be financially comfortable or even rich in the future but not when it is for the wrong reasons.
Student loans have always seem to be a controversial topic. Many people are in agreement and disagreement over the opportunity to student loans. Student loans can be a great advantage to many students, but it can also drown them in an immense debt, that will follow them for many years. The more we analyze this perspective, we are able to distinguish the advantages and disadvantages of student loans. There is a variety of perspectives on student loans, some involving annual salaries, interest rates, and commodity.
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
For the reason that the costs are too high, masses of possible students are not even attending college or, if they do, they do not finish and cannot graduate, all in large as they cannot afford