Many high school students aspire to pursue higher education, but are discouraged due to the fear of looming student debt. The burden of post-college debt is not only avoidable, but also harmful to the wellbeing and potential of young students. Alternative funding options, income-driven repayment plans and debt forgiveness programs can provide relief to those already burdened by student debt. Income-driven repayment plans adjust payments based on income and family size, while debt forgiveness programs cancel some/all debt after a certain time or under certain circumstances. Rather than being forced into high-paying jobs solely to pay off their loans, these programs can help alleviate the stress of student debt and allow graduates to pursue careers of their choosing.
Alternative funding options such as grants and furthered scholarships can alleviate this issue and prioritize the futures of our youth. Research consistently suggests that increased access to grants and scholarships positively impacts educational outcomes. These alternatives play a crucial role in fostering a more inclusive and equitable education system, breaking down financial barriers for students.
The issue of access to higher education is at the forefront of many discussions, and at the heart of the problem lies the cost of college education. According to a report by the College Board, the average cost of tuition and fees at a private four-year college in the U.S. was $36,880 in the ‘20-’21 academic year. For in-state students at public four-year colleges, it was $10,560. These ever-rising tuition fees and associated expenses create a daunting financial hurdle that not all aspiring students can overcome. Higher education, which could be a rocket for personal and societal progress, can become a privilege accessible only to those with significant financial means.
Post-graduation, the weight of student loans can turn academic accomplishment into a source of lifelong stress. This burden is unnecessary, stifling the creativity, innovation and ambition of recent graduates. Instead of embracing opportunities and pursuing passions, many find themselves constrained by financial obligations, making career choices solely based on their ability to repay loans. A 2021 report by Forbes found that student loan debt in the United States has reached a record high of $1.56 trillion, with the average borrower owing $32,731. This debt can take years, and sometimes decades, to pay off, leading to delayed homeownership, marriage and other major life milestones. A survey by One Wisconsin Institute found that individuals with student loan debt are more likely to live paycheck to paycheck and have lower credit scores, limiting their financial opportunities and freedom. The model of financing higher education through loans shackles individuals to debt for years, if not decades. This not only hampers individual potential but also stunts the overall progress of society by constraining the contributions of individuals.
Private loans, such as college financial aid, tend to have higher interest rates than federal loans; interest on student loans starts accruing as soon as the loan is disbursed. Payment plans with subjectively confusing terms can leave borrowers feeling overwhelmed and unsure of how to proceed. For example, some lenders may offer variable interest rates that can change over time, making it difficult for borrowers to plan for the future. Subsidized and unsubsidized loans also present different challenges for borrowers.Subsidized loans do not accrue interest while the borrower is in school, and unsubsidized loans start garnering interest as soon as they’re taken out. All of these factors contribute to a system that platforms inequality, where talented individuals can be bound by debt for years, if not decades, and are unable to fully contribute to society.
Implementing solutions, such as income-driven repayment plans and debt forgiveness programs, can free individuals from the weight of post-college debt. This liberation, in turn, brings an environment where graduates are free to explore their passions; a society where they can contribute meaningfully and chart their paths without being constrained by what leads them there. The current system of student loans places undue stress on individuals and families, often resulting in a cycle of debt that spans decades. This can have a negative impact on their mental health, relationships and overall quality of life. By addressing this issue, it could not only potentially improve the lives of those affected by student debt but also strengthen our economy and society as a whole. Ultimately, the value of accessible and affordable education cannot be overstated in the pursuit of a fair, just, and prosperous society.
