College Student Debt Varies Greatly Per Degree Awarded
Debt, Dropouts and Degrees
A new study takes student debt loads and dropout rates into account to determine the amount of debt taken on for each degree issued. The Education Sector report is intended to give a more complete picture of higher education by dividing the total amount of money undergraduates borrow at a college by the number of degrees it awards. Source: ECS
It’s interesting to note that college students who take out Guaranteed Student Loans may be putting themselves at greater financial risk down the road if they should drop out or fail to find a job that pays enough to make their student loan payments.
While credit card debt is dischargable in Bankruptcy, student loans, under most circumstances are not.
And while Bankruptcy is certainly not at the top of most college students list of concerns, it’s becoming more and more common in today’s economic environment.
As time passes, I think you’ll see fewer and fewer liberal arts majors taking out $100k loans, simply because they realize that they won’t be able to make the payments on their 4 year degree in 16th Century Flemish Painters from the tips they’re making at Applebee’s.
Well said, BlindSquirl. I totally agree that dropping out is not a solution- as burdensome as a student loan seems to be – education is the key to change the world and to pave the way for a bright and brilliant future.