Student Loan Debt

1739 Words4 Pages

Student Loan Debt 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. There are different types of financial aid available to students such as grants, scholarships, and loans. There are a lot of these types of financial assistant available for students to have access to. There are many websites available online that have all different types of scholarships. Some scholarships have certain requirement such as race, GPA, demographic, parent’s income, etc. Others require students to write an essay and others only require students to only apply. Grants are given to students and are money that is not required to be repaid. Most grants are federally and state funded. Loans are money borrowed and is required to be repaid and in most cases with interest. There are two major different types of student loans; they are Federal and Private Loans. Federal loans are loans offered by the government. There are three different types of Federal Student Loans and they are Federal Stafford Loan, Federal Plus Loan, and Federal Perkin Loan. There are two major Stafford loans: Subsidized and Unsubsidized. To be eligible for these loans, students... ... middle of paper ... ...They also have the option of Deferment or Forbearance, and also the option to see if they qualify for Forgiveness, Cancellation, or Discharge. They are options available for borrowers instead of going into Default. Works Cited Carmona, Norma and Thompson, Kim. “How to Manage Student- Loan Debt.” The Chronicle of Higher Education. 27 February 2004. The Chronicle of Higher Education. Web. 26 February 2014. Basken, Paul “Student-Loan Market Shows Small Signs of Revival” The Chronicle of Higher Education. 16 May 2008. Web. 26 February 2014. Turlington, Shannon R. “How To Find A Scholarship Online.” New York: McGraw-Hill, 2001. eBook Collection (EBSCOhost). Web. 23 Apr. 2014. Clemmitt, Marcia. "Student Debt." CQ Researcher 21 Oct. 2011: 877-900. Web. 23 Apr. 2014. Greenblatt, Alan. "Youth Unemployment." CQ Researcher 14 Mar. 2014: 241-64. Web. 23 Apr. 2014.

Open Document