The Pros And Cons Of Student Loan Debt

In the U.S, there is a huge problem facing the government: student debt. College students are graduating from school with huge amounts of debt and loans borrowed from the government. Many students have a hard time finding a job upon graduation and have no way to pay back their loans. This hurts the students as well as the government and the economy. The student loan crisis keeps getting worse and worse. It has risen substantially over the last decade. In 2007, total student loan debt reached 548 billion. Last year, it hit $1.4 trillion. There are many reasons for the debt crisis such as the high cost of tuition, job unavailability, and low paying salaries. Astra Taylor speaks the harsh truth and says: “The schools slurp up about a

For starters, the student could pay back debt without the fear of defaulting on his or her loans. The payments are re-evaluated every year so that if the student became unemployed or had a loss in salary, the payments would decrease. Another huge advantage is that the student would be eligible for loan forgiveness after 20-25 years with this program. This helps alleviate stress on students. Also, with IBR, the government would be getting money each paycheck instead of having students defaulting on loans. This would benefit the economy and take stress off the debt crisis. The IBR plan would take no more than 10% of each paycheck. If students have a hard time finding a job after graduation, they would pay 0$ a month of loan payment. Even if they made between $10,000-$15,000 a year, they would pay 0$. This program takes into account the amount each student makes per year and also the size of the family. If the student has a large family, they would pay much less a month. If they find a great job and are well off, then they will pay off their debt quickly. The IBR plan would take no more than 10% of each paycheck. This program is extremely reasonable and considerate of students and life after