Student loan crisis needs government help
Forgiving student loans would be a step toward securing the futures of college students.
Students and parents are both affected by the student loan crisis. The average loan figure that parents have to pay is $34,000. After the 10-year repayment period that number is closer to $50,000, according to Forbes.com.
The economy is in crisis and once students graduate, the job market does not always open the door for them to get the careers going the way they want to.
Students are going to continue getting these loans until the end of time though. How else are they going to keep attending these universities?
From a young age, we are taught to work hard in school so we can attend the best universities.
When you finally reach that goal and get that acceptance letter to the school of your choice, the first thing you do is figure out how you are actually going to get to the school.
An undergraduate at USC has tuition fees that amount to $21,081 per semester.
USC is private university of course, but rising tuition fees and hidden costs at state universities are causing the prices of tuition to rise everywhere, especially here in California where we had the highest increase in tuition in the country.
Scholarships are great for the students who get them, but the nature of a scholarship is that it is exclusive.
Forgiving student loans would put thousands and thousands of dollars back into the pockets of people who otherwise would have had to pay back these loans right away.
More money in people’s pockets means more money spent on consumer goods, which could help the economy. Businesses would also have more money to hire new employees.
The obvious thing to say is that these students assumed these risks when they took the loans and now they should have to pay them back. Fine.
Today’s students have to look and weigh the benefits between getting the college degrees and not getting them. The American promise is that if you work hard the opportunities will be there.
The fact of the matter is that right now the opportunities are simply not there for a lot of students after graduation.
When the student cannot get jobs after receiving their diploma many turn to graduate schools only steepening their debt. Markets where jobs used to be easily attainable are now packed and overcrowded so with more schooling the field of applicants shrinks as the debt grows.
Student loan debt is said to have hit the $1 trillion mark, according to The Wall Street Journal.
Lives are being put on hold due to newly graduated students being buried in debts. They are not getting the right jobs or not getting jobs at all.
Responsible people buried in debts are not going to take any financial risks like starting their own businesses or going into home ownership when they have so many previous financial obligations.
This student loan crisis is stifling the economy and stifling young people’s lives.
Forgive student loans so that we can move forward and live out the American promise.