As college freshman head off for school student loans can be an appealing way to fund this new adventure. A point to remember is that you have to pay it back, even if you don't graduate.
July 15, 2005 (Press Release) --
As a new batch of college freshman head out for their first year of new responsibility and temptations, student loans are an appealing way to fund this new adventure. The catch is: if you don't graduate you still have to pay back the debt.
The 2002-03 average annual cost for in-state tuition, room, and board at a public four-year university in Florida was $8,762, according to the U.S. Department of Education.
A recent study conducted by the National Center for Public Policy and Higher Education found that half of all freshman entering college borrow money in the form of loans to pay for college.
For many students who complete their four years and obtain their bachelor’s degree paying back their loans may not be a big issue, but for the 20 percent of borrowers who drop out paying back their debt is much tougher.
“ Students who drop out because their student loans and credit lines are ‘maxed out’ face the burden of suffocating debt and usually cannot land a high paying job with out the college degree,” said Charlie Fetscher, chief operating officer of Credit Card Management Services, Inc.
Student loans must be paid back whether or not a college degree is attained by the student. The student who drops out will not have the same financial benefits of a four-year degree and could find it very hard to pay back his or her loans.
“Many students take the required Internet courses to obtain student loans but don’t really appreciate the magnitude of their obligations until the graduation robe is packed away,” Fetscher said.
There are some ways to make paying back student loans easier.
Consolidation. If you have multiple loans you can consolidate them into one loan with the possibility of a lower interest rate.
Deferment. If you are having trouble making your payments because of a loss of job, medical bills, or some other personal crises, you can contact the lender and ask for your payments to be deferred for a period of time.
Contact Lender. Many lenders have different programs designed to help people having trouble paying their debt. For example, the lender may be able to temporarily lower monthly payments or interest rates, and can re-defer payments for a period of time if necessary.
Credit Card Management Services, Inc. is a non-profit credit counseling and education agency dedicated to providing professional, compassionate and effective credit counseling to every client. For more information on student loan debt or for a free credit and budget analysis call 1-800-920-2262 or visit www.debthelper.com today.
The 2002-03 average annual cost for in-state tuition, room, and board at a public four-year university in Florida was $8,762, according to the U.S. Department of Education.
A recent study conducted by the National Center for Public Policy and Higher Education found that half of all freshman entering college borrow money in the form of loans to pay for college.
For many students who complete their four years and obtain their bachelor’s degree paying back their loans may not be a big issue, but for the 20 percent of borrowers who drop out paying back their debt is much tougher.
“ Students who drop out because their student loans and credit lines are ‘maxed out’ face the burden of suffocating debt and usually cannot land a high paying job with out the college degree,” said Charlie Fetscher, chief operating officer of Credit Card Management Services, Inc.
Student loans must be paid back whether or not a college degree is attained by the student. The student who drops out will not have the same financial benefits of a four-year degree and could find it very hard to pay back his or her loans.
“Many students take the required Internet courses to obtain student loans but don’t really appreciate the magnitude of their obligations until the graduation robe is packed away,” Fetscher said.
There are some ways to make paying back student loans easier.
Consolidation. If you have multiple loans you can consolidate them into one loan with the possibility of a lower interest rate.
Deferment. If you are having trouble making your payments because of a loss of job, medical bills, or some other personal crises, you can contact the lender and ask for your payments to be deferred for a period of time.
Contact Lender. Many lenders have different programs designed to help people having trouble paying their debt. For example, the lender may be able to temporarily lower monthly payments or interest rates, and can re-defer payments for a period of time if necessary.
Credit Card Management Services, Inc. is a non-profit credit counseling and education agency dedicated to providing professional, compassionate and effective credit counseling to every client. For more information on student loan debt or for a free credit and budget analysis call 1-800-920-2262 or visit www.debthelper.com today.
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