Those who could not afford to pay their way to college have the opportunity to still get a degree through student loans. In some countries, student loans are open to everyone who has been admitted to college. There are countries where only those who have good credit scores are qualified. If you really are determined to go to college and your family couldn’t afford it, then it is easier for you to be tempted to take out student loans. Before thinking about it, you have to understand first the consequences of getting one.
You can’t file for bankruptcy because of student loans
It is still a hot topic until now on whether or not student loans be forgiven or if those who can’t afford to repay file for bankruptcy. The laws are vague and there are only rare cases in which people can file for bankruptcy. Think about it. Big companies are allowed to file for bankruptcy and start over again, but students who aspire to get a college degree and be better off in life cannot. This could change depending on the future policies of various governments, but it is the sad reality for many countries right now, especially in the United States.
They have high interest rates
The purpose of student loans is to help those who are financially not capable of sending themselves to college. Sadly, it has become an avenue for the government and private companies to rake more money from students. Due to the severely high interest rates, even if you try to pay the loans off, your money will be enough to just pay off the interest. It is a sad reality that many students have to deal with.
You can’t start your life after college
Graduating from a good university is an advantage. You will have the chance to get a good paying job, buy a new car, pay for your dream house and even start a family. However, because of student loans, everything else must be placed on a halt. You don’t want to spend on anything else or even think about having a family because you know you are unable to pay for it. You still have college loans to repay and it could take a while before you can fully pay the amount.
Getting student loans comes with a great risk. In a way, it is an investment for your future. The sad thing is that if you are stuck in debt, you really can’t move ahead in your life. There are other options though. You can take scholarship examinations so you won’t have to pay for tuition fees. You can also study in community colleges where the fees are a lot lower. You can get a job while studying so you have enough money for your daily expenses. Before getting student loans, you have to think of your future. If you think it is in your best interest, then it is ultimately your choice.
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2nd image by David Castillo Dominici/freedigitalphotos.net