The Problem Of Student Loan Debt - 1271 Words

Today, there’s an issue that has been weighing college students down. The problem is student loan debt. This is the highest of all debt, passing up auto loans and credit card debt. There is approximately $1 trillion in student loans in America and the number is growing every year. It has been said that most of the student’s in debt were dropouts and graduate students, but now has broadened to students still working on their degree. Is getting a degree worth the financial burden? The biggest question asked about student loans is, â€Å"How did it get this bad?† It started back in October 1957 when the satellite, Sputnik, went up. After that, students worried that they might not be as intelligent to go up against Russian rocket scientists. So, President Eisenhower made a low-interest college loan program through the National Defense Education Act of 1958. The money for the loan came straight from the government. Years went on, and in 1965 Lyndon Johnson’s legislation â€Å"war on poverty†, came into play. The student loans increased due to the president’s Great Society initiatives. Due to the increase in college students, the Higher Education Act expanded. Loans and grants were made to help students who really needed it. Also, something else made a change. Instead of the government financing the loans, bankers were now responsible. It was also said that if students defaulted, the government would cover the tab. The lawmakers supported the idea because outstanding loansShow MoreRelatedThe Problem Of Student Loan Debt940 Words   |  4 Pageswithout the burden of student loan debt piling up as you get further into college. Even though financial aid is available for students seeking college education, some of those students will not all qualify for financial aid. With them not being able to qualify, it leaves taking out student loans to afford those college expenses. By them having no other option but to take out student loans, it is the start to a long road of student loan debt issues. Majority of student loans today are through theRead MoreThe Problem Of Rising Student Loan Debt1495 Words   |  6 PagesAs a mother of four, a large number of the social problems described in the text can and does directly relate to myself, as well as, my family especially regarding the matter of education. However, the problem directly affecting my family and I is the emerging social problem of rising student loan debt. Student loan debt is a problem that has begun to seep into the very mainstream of society as more and more individuals attend college, especially those with great financial needs. Personally, I amRead MoreStudent Loan Debt And Why It Is A Problem Essay1507 Words   |  7 Pages Student Loan Debt and why it is a Problem Student loan debt affects college students all over the United States. Today students are having to take out loans in order to pay for all of their college expenses. It can be a pain to deal with the hassle of paying back the loans. The problems with student loans include causing students to go into debt that they are not able to pay them off in the given time which makes them put major life decisions on hold, and the debt stay with the student evenRead MoreStudent Loan Debt Has Become A National Problem With No Solution2311 Words   |  10 PagesIntroduction: According to CNN, â€Å"Almost 19% of student loan borrowers owe more than $50,000.Only 6% of borrowers had that much in 2001.† (Gillispe, 1). Why has student loan debt increased so much? Student Loan debt has become a national problem with no solution. Many students are borrowing more money to keep up with the rising cost of tuition in universities, leaving themselves with thousands of debt after graduation. Students after gaining this debt, have to find jobs to support it which can comeRead MoreThe Student Loan Debt Crisis1247 Words   |  5 Pages The Student Loan Debt Crisis Student loan debt has overtime become an unpleasant part of life for millions of Americans and especially borrowers. It is possible to identify the types of people who went through college and borrowed financial loans from those that went through college and did not go to college or those that went but did not borrow. The debt crisis directly affects the families of the borrowers, those with high debt burdens and advanced degrees. Despite the increased length in loanRead MoreStudent Loan Debt Is Not Worth Going Into1335 Words   |  6 Pagesdecade student loan debt has risen substantially and is now one of the largest form of personal debt in America, totaling about one trillion dollars, with 71 percent of students who earn a bachelors degree graduating with debt, with the average amount of debt being $29,400. This topic has become a very important issue, with some people saying that student loans could be the next bubble and could do what the real estate bubble did to the U.S economy in 2007 and 2009. If student loans are becomingRead MoreEssay on Student Loan Debt Should be Forgiven1256 Words   |  6 PagesDoes the amount of student loan debt have an effect on the economy? If so would forgiving student loan debt help lower the national debt or would it just increase it? According to Mary Claire Fischer, a writer for Kiplinger’s Personal Finance magazine, â€Å"two-thirds of students who receive bachelor’s degrees leave college with an average debt of twenty-six thousand dollars† (Fischer). This means that the average student debt has doubled since 2007 (Ross 24). The total student loan debt is $1.2 trillionRead MoreThe Cultural And Global Impact Of College Tuition And Student Loan Debt1442 Words   |  6 PagesThe Cultural and Global Impact of College Tuition and Student Loan Debt Introduction College debt is quickly rising as more students pursue a postsecondary education. Tuition is growing at a rate higher than inflation, thus forcing many students to make up the gap between income and tuition through loans (Houle). However, cultural factors must be considered before a young adult makes a decision about higher education. The type of postsecondary education one pursues, if any, is determined by manyRead MoreStudent Lo Samaritan Or Satan?1545 Words   |  7 Pages11/18/2015 WA#3 3rd Draft Student Loan: Samaritan or Satan? â€Å"Die Luft der Freiheit weht† is Stanford’s motto, which means â€Å"The wind of freedom blows.† However, selective universities are not â€Å"free† like Stanford University’s motto and even less â€Å"free† when students graduate. College students pay a huge amount of tuition every year, and yet not every college graduate can find a satisfying job. Many college students choose to take out student loans. Student loans give many students chances to go to collegeRead MoreForgiving Student Loan Debt Essay examples822 Words   |  4 Pagesamount of student loan debt have an effect on the economy? If so would forgiving student loan debt help lower the national debt or would it just increase it? According to Mary Claire Fischer, a writer for Kiplinger’s Personal Finance magazine, â€Å"two-thirds of students who receive bachelor’s degrees leave college with debt in tow† (Fischer). Among these students, the average amount o wed is twenty-six thousand dollars (Fischer). There is a six month grace period after graduation to allow the student time