Education Loans can be a benefit as well as a set back for students world-wide. Since the loan allows a poor student to graduate, it may be considered as a plus. However, it may act as a setback because it may be hard for a student to decide on the loan figures. Because any student may have varied opinions about the starting salary and may find it hard to make any realistic decision about the bills that needs to paid back for the loan.
The bad about student loans is that even thought students have graduated after 10 - 15 years, they are essentially indentured servants to their student loan debts. There are many reasons for this and different college graduates will find different things about their education loans when the appropriate time comes. In the first place, those taking out education loans need to understand that a college degree does not guarantee a high starting salary. Beyond that, there is no 100% guaranteed you could be hired after you have graduated from schools or college with a degree in hand. The truth is that most college grads take anywhere from 6 months to a year to find a job in their fields and even then the starting salaries are often far less than anticipated.
Often the universities are to be blamed for causing such false expectations among the students. Because most of the Universities try to justify their high tuition rates by promising great careers and salaries to their students upon graduation. Some universities even display the names of those graduates who work as an intern (before joining full time) for a prospective company. The students who get to see such job displays on universities assume that employers will hire graduates and pay them a lump sum even if they lack experience. So, most students even develop unrealistic salary expectations when they look for a job.
The problem is that for many students a student loan is the difference in receiving a college education or not receiving one. For them, they have no choice but to accept. The price they will pay (with interest) for having education loans in order to get through the educational process will repay itself over the course of a lifetime if they are wise about making the necessary payments and stay on top of things such as consolidation loans and making payments on time.
Student loans are a great tool for those who have no other options when it comes to attending and affording to attend a university. On the other hand, for those who do not have an absolute need for the funds a student loan can provide they can prove to be problematic when trying to establish your career and your lifestyle upon graduation. This is a tool for education that should be used sparingly at best.
No matter whether you choose to take out education loans in order to fund your college education it is a good idea if you exhaust all other available resources first. Check out your options for grants and scholarships programs before leaping into student loans to pay for your education.
The bad about student loans is that even thought students have graduated after 10 - 15 years, they are essentially indentured servants to their student loan debts. There are many reasons for this and different college graduates will find different things about their education loans when the appropriate time comes. In the first place, those taking out education loans need to understand that a college degree does not guarantee a high starting salary. Beyond that, there is no 100% guaranteed you could be hired after you have graduated from schools or college with a degree in hand. The truth is that most college grads take anywhere from 6 months to a year to find a job in their fields and even then the starting salaries are often far less than anticipated.
Often the universities are to be blamed for causing such false expectations among the students. Because most of the Universities try to justify their high tuition rates by promising great careers and salaries to their students upon graduation. Some universities even display the names of those graduates who work as an intern (before joining full time) for a prospective company. The students who get to see such job displays on universities assume that employers will hire graduates and pay them a lump sum even if they lack experience. So, most students even develop unrealistic salary expectations when they look for a job.
The problem is that for many students a student loan is the difference in receiving a college education or not receiving one. For them, they have no choice but to accept. The price they will pay (with interest) for having education loans in order to get through the educational process will repay itself over the course of a lifetime if they are wise about making the necessary payments and stay on top of things such as consolidation loans and making payments on time.
Student loans are a great tool for those who have no other options when it comes to attending and affording to attend a university. On the other hand, for those who do not have an absolute need for the funds a student loan can provide they can prove to be problematic when trying to establish your career and your lifestyle upon graduation. This is a tool for education that should be used sparingly at best.
No matter whether you choose to take out education loans in order to fund your college education it is a good idea if you exhaust all other available resources first. Check out your options for grants and scholarships programs before leaping into student loans to pay for your education.
About the Author:
Jeremy is an author, business owner and niche website builder. In addition of running multiple business online which primarily focused on SEO, he also created resouceful websites on multiple subjects like teacher loan forgiveness and bankruptcy and student loans.