Many students at DU are aware of the issue of student loans and how they affect college students. College tuition is consistently rising, and it is making it harder for students to afford a college education.
Morgan Freud, a freshman business major at DU encourages students to start saving to help their repayment plans in the future. She says that it is harder for students to attend college without a loan, and she herself has taken out a loan to help her attend DU.
“I got to choose my own repayment plan and choosing one with a set price per month allows me to stay on top of my loan after college so the interest doesn’t continue to build up,” states Freud.
Freud also brought up the idea that the average student debt rates for undergraduate students is on the rise. A recent study shows that the average student debt for college undergrads is $29,000.
John Gudvangen, the Director of Financial Aid at DU stated how that average can be a burden to students, but with proper planning it can be a great investment to help obtain a degree. He said many students at DU face this problem year after year, and they’re trying to help them to better understand student loans.
Gudvangen says that at DU in the Class of 2018 (undergraduates), 48% of students in the class had federal student loans for an average of $22,420. He says that despite those numbers, many students strive to come to DU.
“We know that in many cases we are able to offer financial aid that makes a DU education as affordable as any other school on a student’s list. A college education with the right degree is the best investment anyone can ever make,” Gudvangen states.
With debt numbers rising, job opportunities are declining. Finding jobs that are economically sufficient has been more difficult. Being unable to have job security makes it even harder for students to pay back that debt.
Lizzie Stacks, a sophomore at DU has a few student loans herself and has also set up a repayment plan to help her repay her debt while in school. She strongly believes that student debt is not helping grow the economy in the US and it’s ruining the American Dream.
“I know there is this big emphasis in America on following your dream school, but with debt rising and it being so hard to find job stability I say go to the cheapest college because you might just have to settle in order to get an education now a days,” Stacks states.
Student loan debt is the second largest household debt next to mortgages. College students are stuck trying to find ways to conquer this battle that seems everlasting. Students at DU think that there are ways people can better prepare themselves for the future if they start planning now.
Stacks and Freud both said that they believe researching as much as they can about student loans will help them strategize their own debt in the near future. Looking at every possible option to find which one is best suitable for each individual is the best way to go.
“Research, research, research before you start paying for anything because it takes months and months to really understand finances in terms of loans,” Stacks says.
As confusing and complex loans may be, they seem to be one of the only options for people to complete their degree in the US. Luckily, there are many people out there who are trying their best to help students find the most reasonable plan to better their future.
“It’s important to note that student loan debt is a bit complicated, but it’s also important to note that student loan debt can be a useful and manageable tool to complete an education,” Gudvangen states.
The MFJS Reporter -- Winter 2020 T-R 