Outline
THESIS: There is a growing number of students with credit card and student loan debt at Broward College. Not all of them are conscious of the fact that their debts continue to gain interest over the years and leaves the student in a precarious financial situation if left unchecked. The students need to be informed of the methods by which they can avoid or deal with student credit card or student loan debt.
I. Students at Broward College do not even realize they are incurring a continuing debt.
A. Students at Boward College are incurring debts even before they begin working and receiving a regular paycheck.
B. Students who become aware of their student loans and credit card debt develop a fear of not being able to pay back what they owe.
II. Students in debt regularly borrow money from different sources in order to pay off their education related expenses.
A. It has become increasingly harder to afford a regular college education.
B. The cost of a semester in college is often more than the amount the parents have set aside for the student's educational needs.
III. Broward College students realize they have a problem with student debt and credit card loans which is why some of them are seeking ways of getting out of debt.
A. Some students visit the college career office in order to device a payment scheme based upon future potential income
B. The students have considered loan consolidation even at this early point in their lives.
C. Other students have considered filing for bankruptcy in order to avoid paying for their debt.
IV. Conclusion
A. Most Broward College students realize that they need to pay off their debts soon after they graduate and get regular jobs.
B. Broward College must push their studen...
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...er path in mind, a consultation with the career office of the university can help determine how much money one might be earning in the future and use that figure as a starting point in managing their debt payments. A quality education is important to each student's future. But as it becomes more financially straining to achieve that goal, college students must learn to grow up and fast become mature adults when it comes to incurring and paying for student debt.
Works Cited
Jonnes, Alex. “Help For Students: Debt Consolidation”. Expert Authors. Ezine Articles. n.d. Web. 8 Mar. 2012.
Miller, Radhika S. “Student Debt Crisis Isn't Just About Economy”. Student Loan Ranger. USNews. 11 Jan. 2012. Web. 7 Mar. 2012.
Tompor, Susan. “Student Loan Debt Exceeds Credit Card Debt in USA”. Money - Personal Finance. USA Today. 10 Sept. 2010. Web. 9 Mar. 2012.
defer their loans. Whether the decision is made because it seemed like a sound idea, or whether it
The article addresses the issue of college debt preventing college graduates from taking out loans on other items such as a car or house. It claims that this statement is false and that within about two years of graduating, students have caught up with their debts enough that they are okay enough to make these purchases. An example used is a study done by TransUnion between two groups; one with college debt and one without. The study results display that the group with student loans ended up have better origin rate percentage with their purchases after two years than the group without
Recent studies show that the number of individuals who default on their student loans has been steadily increasing as well. Statistics from the Institute for Higher Education Policy (IHEP) show that between 2004 and 2009 only 37% of federal student loan borrowers were able to make uninterrupted payments; it is an annual average of 7.4% (Cunningham, and Kienzl). According to IHEP, for every one borrower who defaulted, two ...
Many people would agree that our country’s young adults have and continue to incur a lifetime of debt by enrolling in college. It’s become an almost acceptable understanding that if you plan to attend college, you might as well expect to graduate with an enormous amount of debt. Robin Wilson, a reporter for the “Chronicle of Higher Education,” and author of “A Lifetime of Student Debt? Not Likely” suggests student loans are very real and can be life altering.
To understand the student debt crisis, one must first understand what caused it and what results from it. College undergraduates use student loans to finance the cost of tuition, room, board, transportation, and personal expenses while attending (Gage and Lorin). Student loans are different from other forms of debt because basic consumer rights like bankruptcy protection don’t apply to students who default on their loans. As a result, students are virtually locked into their debt, offering them little to no ability to refinance it. Solutions to debt problems like consolidation are available to students but that process doesn’t involve shopping for a better deal from competing lenders like it does in other debt areas. Therefore, interest rates often remain high and the loans remain with the original lender (Vanegeren). As Kayla Webley expl...
Most people today accept the debt that comes from college. Students consider student loan debt as a “good debt.” They see other students make this mistake but follow their path anyway. Nearly 80% of college-bound students have not projected the total amount of money they will need to graduate college.
Student loan debt makes up a large portion of the debt in this country today. Many defaulted loans are the demise of high interest rates, poor resources to students in educating them on other avenues and corruption in the governmental departments that oversee education and financing. There are many contributing factors that lead to the inability to pay off student loans which need government reform to protect the borrower’s best interests.
It is a norm and expectation in society today for students to pursue higher education after graduating from high school. College tuition is on the rise, and a lot of students have difficulty paying for their tuitions. To pay for their tuitions, most students have to take out loans and at the end of four years, those students end up in debt. Student loan debts are at an all time high with so many people graduating from college, and having difficulties finding jobs in their career fields, so they have difficulties paying off their student loans and, they also don’t have a full understanding of the term of the loans and their options if they are unable to repay.
Ross, Andrew. “Mortgaging the Future: Student Debt in the Age of Austerity.” New Labor Forum (Sage Publications Inc.) 22.1 (2013): 23-28. Academic Search Complete. Web. 13 Mar. 2015
In that year, the number of college graduates was only 432,058 (Sourmaidis) and ever since the demand continually increased as did price. This trend allowed for the student loan crisis to occur, which is a problem we face today. As of 2016, American students have accrued a massive 1.3 trillion in student loan debt. Just 10 years ago, the nation’s balance was only $447 billion (Clements). This ever-present cumulative burden has caused many post graduate Americans to delay important life events such as marriage, homeownership and children because of this substantial encumbrance (Clements).
With tuition rising every year, students face the challenge paying the debt achieving a college degree comes with. “Student debt surpassed credit-card debt in June 2010 for the first time in history, rising to about $830 billion — or nearly 6 percent of the nation 's annual economic output”(Clemmitt, Marcia). Not everyone has a ton of money just laying around. Being that financial trouble is the biggest problem for students, they begin to question whether college is worth it or not. In recent years, students have taken out loans to help with expenses. Most students choose to attend a community and junior college to help minimize the debt. Even after graduating with a degree, students still face the struggle of finding a job in this economic time. For higher class families this may not be a problem to them. But for the middle class and low income families, they face tougher times being that they don 't have the financial help like higher class families do. For the middle class and low income families, it makes more sense attending a community and junior college rather than a four year university.
Over the past decade, it has become evident to the students of the United States that in order to attain a well paying job they must seek a higher education. The higher education, usually a college or university, is practically required in order to succeed. To be able to attend these schools and receive a degree in a specific field it means money, and often a lot of it. For students, the need for a degree is strong, but the cost of going to college may stand in the way of a successful future. Each year the expense of college rises, resulting in the need for students to take out loans. Many students expect to immediately get a job after graduation, however, in more recent years the chances for college graduates to get a well paying job isn’t nearly as high as it used to be. Because students can no longer depend on getting a job fresh out of college, it has become harder to repay the loans. Without a steady income, these individuals have gone into debt and frequently default loans. If nothing is done to stop colleges and universities from increasing the cost of attending their school, the amount of time it takes for students to pay off their loans will become longer and longer. The extreme expenses to attend a college or university may leave a student in financial distress: which may ultimately lead to hardship in creating a living for them and affect the country’s economy.
“New Data Confirm Troubling Student Loan Default Problems.” Project on Student Debt: Home. N.p., n.d. Web. 29 Oct. 2013. .
Through my research I hope to explore the consequences of education debt on college graduates’ lives, including career choices, consumption pattern and lifestyle choices. Meanwhile, I want to discuss some feasible alternatives to minimize student loan debt. My intended audience will be the American college students and their families. The other audience I want to reach is those education policymakers. The contribution of this research will be to help students better understanding the consequences of indebtedness and making informed and careful decisions on paying for college. Also, it will raise the awareness of education policymakers, prompting them to improve our existing student loan policy. As a college student, how to finance a higher education is closely related to my personal life. Through the research I hope that I can acquire enough information on the pros and cons of student loan, and other options to minimize the student loan debt, so that I can make careful decision on financing my college education.
school. These facts help show that student loans are not a reward for you but are a burden.