Student Loans

 

In America, we have student loans topping what used to be are highest debt which is credit cards. A total of 1 trillion to be exact. Now being looked at as a problem then what should have been looked at years ago, we are attacking this problem as society or government with a couple solutions. Obama only a couple days ago put a cap on the loans to ten percent there income and forgive the balance after twenty years of paying. Some say that maybe we should just limit loans to those who are using it for school, and to cancel private loans all together. There was potential ideas which I believe did not go through, where that those who chose to go to a school with a expensive tuition should go somewhere else where it’s not so much. How sad is that to think that someone who has goals cannot go to a school they want because those who have loans barrow the money and then are behind on paying it back. I’m not dissing those who are doing that because I know myself how that is, but there are those who miss use the system and just simply borrow without the remorse of reimbursing the collectors, ether by falsifying there reason and need to get loans, or simply another way to get the money. Whatever it is it’s not a big issue but it has been looked at, and it is said that there is a good hold on the problem and is slowly working its way to a positive outlook.
Today the student debt has reached a whopping one trillion dollars. more than what the credit card debt is said to be today. I believe that what is being done today is limit the loans of those to private lenders and limiting down to those who need it for school. I might be wrong but this could be a smart thing to do in two ways. One being that it would cap the debt that are society lives on besides the student loans to add on top of this. Seconded it helps the students who really need the money to get through the college life and become a better individual in this society were the economy has made life way difficult to get by without a college education. Much like fighting for your life is how important to compare it to. What is said is that we have made numerous improvement in this field of issues we have on student loans, I think fifty percent of this we can say that’s true and fifty percent of this can be not true. Why? Because Obama has passed a capping on the loans that putting a cap on the lans to ten percent there income and forgive the balance after twenty year of paying the loan. It does have a good intention and does help relieve the problem of stress and delay on the reimbursing the collection agencies and students, but it does not help are society when we forgive the among still owed after twenty years just forgotten. Taxing the lower class, one who failed to ether graduate highschool or just did not proceed to go on to a futher education. Not only taxing the generation now, but it could possibly be taxing the next generation to come. Highly unfair to people who live without education past highschool. It can also have potential whatever way it goes by throwing the money away and leaving us with the debt that will never be paid back. Putting the country in a slump with other debt that is not being paid as well.

What needs to be done is that colleges need to be more realistic with pricing and understanding. It is said that year 2010 estimated private college is around $119,400, Public college $33,300, community college $68,800. This is including fees. In the year 2028 it is estimated that price of tuition will extremely jumps such as private college $340,800, public college $95,000, and community college $ 196,300.becasue of the high prices, makes the rate of the loans go up and the more amount that is loaned. Reduce prices of college reduce s the amount of loans needed. we should not turn down those who can’t afford the college of their choice and accept those who are known to have the money to pay them or the loans. Which is what the thought of a solution could be. Prices have tremendously shout up from what students were said to be borrowing for a decade ago. It’s no wonder why we have such a high student loan debt today. with the tuition comes the other small coast of things like books. Before books used to be cheap, and then some would be horrible expensive. For a student to be taking a major requiring a lot of books in one semester could easily top the rate at which they pay for room and board. Now granted that some students could make changes in their ways of spending or limit of borrowing. Such as those who are easily in the commuting distance of the school, but instead decide to pay to stay on campus. Today technology has worked with the cause of student loan debt to help bring some prices down to meet the student’s needs. Online books purchased and read on tablets are much less expensive than one that would purchase a hard or even soft copy. Some schools are now involved with the rent program, were like a DVD rental, you can rent the books at half the coast, cutting tremendously down on your spending.

But what really needs to be done is that loan agency should really look into the fact that if a student really needs the loan, or simply could go without. A friend of mine in his first year of college was well situated for his enrolment, barely a balance needing to be paid he received a check from grant that gave him $1,700.00. that money helped him with books and some gas, but with his family situation he was in a comfortable situation to get by without worries. Now with his parents splitting up, does that amount of money come in necessary because of the situation and financial setbacks. But Some students are more than capable to pay for tuition or books, or other things along those lines. We are handing out way too much money for those who are falsifying the actual need to needing the loan. The possible turn out of this problem can be significant whether it be fines plus paying back the amount that was borrowed and imprisonment. Or the fact that the privilege that us students like myself who actually need this money to get them through school, will just complete lose it all. That would be unfair given my circumstances and need of this money to come in.
Whatever the case may be this is only my opinion, others agree, others disagree. I think we are fine were we stand now. we made it this far with credit card debt and haven’t heard much about it, hypothesis would say that probably because it is being fixed to a positive outlook for the future. So keep helping the students who do need it but not for those who abuse the system. Up the security metaphorically speaking. Let’s get the credit card debt taken care of first, along with more important issues and come back to student loans after credit cards and couple other small issues have been taken care.

 

 

Student Loans