Finding something to unite a large percentage of West Chester’s campus is virtually impossible. Students come from many diverse backgrounds and upbringings and yet, WCU does have one element that connects most of its students together; although it may not be what one would expect.The answer is none other than student loans. As of Sept. 2009, 77 percent of campus students collected some form of financial aid, according to stateuniversity.com, a website that tracks schools in the Pennsylvania state system.
While credit cards, the whipping boy of debt-riddled Americans for decades, continue to be vilified, student loans remain a relatively well-kept secret. Students entering college even as credit cards get awareness programs highlighting their dangers see them as a “means to an end” to a successful future.
Yet, student loan debt actually surpassed credit card debt in 2010. The Federal Reserve released that credit card debt sat at $827 billion, but student loans jumped to $830 billion. The average student leaves college with $23,200 to be paid back, and a quarter of all college grads depart their school with more than $30,500.
Following high school, many students feel the pressure to get a college education even when faced with amassing serious debt. Corey Latsha, a fourth-year student, said, “My family really pushed college-they made it sound like it was ‘go to college or work at McDonald’s.'”
At state schools like WCU, students generally have a few different loan options to pay for their education. They can take out a federal loan, which has a fixed interest rate and students receive the same rate regardless of their credit score. These loans also give deferred payment options, so students do not start making monthly payments until six months after they graduate. Private loans are another option. These loans come from independent institutions, normally banks, and are generally considered more of a risk because they often do not have a grace period or as stable an interest rate. Lastly, financially-qualified parents can take out government loans for their children. These loans function much like the other federal loans.
Graduating high school seniors have a lot to consider when it comes to funding their education. West Chester is relatively affordable by most standards, but students still say they’ve racked up a lot of debt.
Fourth-year student Henry Adams faces “only $11,000” when he gets out, and Zhi Yin will have about $23,000 when he graduates this spring.
Latsha stated that he has “around $35,000” of student loan debt. He is joining the Army after college, and his loans will be paid off within three years. This decision will help his career in the criminal justice field. He repeated the same thing many students said about their post-graduation plans being influenced by their debt, “It’s pretty important because I’d like to get them paid off as soon as possible,” he said.
He also cited his brother, Brady, 19, as an example of how some students at private schools have even more money to pay back. Brady is a freshman at Drexel who will have around $150,000 in debt following his senior year.
These loans affect students even while they are still in school, though. Students strive to make money during the school year and over every break. Sometimes students refuse to take an unpaid internship that will be beneficial to their future career, just because the risk of running up too much debt or not having enough for school at all is too great.
After graduation, the situation gets more dire. Students have some time to decide their future course, and then will begin making monthly payments. Many times the total debt can be consolidated if they come from the same place. For example, federal loans normally can be made into one lump sum. These loans, however, cannot be consolidated with private loans because those loans are controlled by the institution the money was borrowed from.
Some students will pay off their loans very quickly. Others, like Brady, recognize that “it’s going to take a very long time, but does not necessarily influence my decision on whether or not to take out the loans because I need them either way.”
Coming into school each student said that, ironically enough, education is the best defense to overwhelming student loan debt.
“You need to do your research. Check on lenders, the grace period, apply for scholarships, and get as much grant money as you can. Know what you’re getting into before you get here,” said Latsha when asked if he had any advice for students considering college and higher education loans.
Adams, echoed similar sentiments, “Try to get as much ‘free’ money as possible, like scholarships or grants.”
“Don’t take out private loans because they don’t always defer payments and normally have a higher interest rate,” Yin said.
Sometimes students can feel buyer’s remorse when it comes to student loans. “I would’ve done it differently in order to save money. I would’ve gone to community college for two years, or joined ROTC or the National Guard,” Latsha said.
Still, each student also agreed that education is worth the debt accrued to achieve it.
“Any education is worth the money because you’ll have the opportunity to pursue what you want in life. I feel that my education is worth what I’ve put into it,” Latsha said.
“In today’s society, you can’t get ahead without education,” said Adams.
The majority of students seem to agree on one thing: although the price of education rises and the total debt follows, the college experience and a university degree are worth it.
Travis Pearson is a fourth-year student majoring in English. He can be reached at TP651537@wcupa.edu.